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Marge sells land to her adult son, Jason, for its $ 2 0 , 0 0 0 appraised value. Her adjusted basis for the land

Marge sells land to her adult son, Jason, for its $20,000 appraised value. Her adjusted basis for the land is $25,000. Marge's recognized loss is $5,000, and Jason's adjusted basis for the land is $25,000($20,000 cost + $5,000 recognized loss of Marge).
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