Question
Metro Corp. traded Building A for Building B. Metro originally purchased Building A for $50,000, and Building As adjusted basis was $25,000 at the time
Metro Corp. traded Building A for Building B. Metro originally purchased Building A for $50,000, and Building As adjusted basis was $25,000 at the time of the exchange.
What is Metros realized gain or loss, recognized gain or loss, and adjusted basis in Building B in each of the following alternative scenarios? (Loss amounts should be indicated by a minus sign. Input all other amounts as positive values. Leave no answer blank. Enter zero is applicable.)
rev: 10_20_2020_QC_CS-236536
c. The fair market value of Building A is $35,000, and Building B is valued at $40,000. Metro exchanges Building A and $5,000 cash for Building B. Building A and Building B are like-kind property.
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