Mia owns a warehouse that has a cost basis of $228,400. The city condemns the warehouse to make room for a new fire station. It pays Mia $1,142,000 for the property, its agreed-to fair market value. Shortly after the condemnation, Mia purchases another warehouse as a replacement.

If amount is zero, enter "0". a. What is her recognized gain if the new property cost is $799,400?

$

b. What is her recognized gain if the new property cost is $1,256,200?

$

c. What is her recognized gain if the new property cost is $228,400?

$

d. What, if any, is the justification for deferring the recognition of gain on the involuntary conversion? The involuntary conversion provision is justified under the _______ and the notion that the taxpayer's economic ______ position changed.