Question
On December 30, 2019, Whitney sold a piece of property for $292,800. Her basis in the property was $131,760, and she incurred $2,928 in selling
On December 30, 2019, Whitney sold a piece of property for $292,800. Her basis in the property was $131,760, and she incurred $2,928 in selling expenses. The buyer paid $14,640 down with the balance payable in $27,816 installments over the next ten years. In addition, the buyer assumed a $43,920 mortgage on the property.
Under the installment sales method, what is the total contract price, the total gain on the sale, and the amount of gain reported in 2019?
Round any division to two decimal places, and use that amount in subsequent computations. If required, round your final answer to the nearest dollar.
Under the installment sales method, the total contract price is $_____, the total gain on the sale is $_______ and the amount of gain reported in 2019 is $______.
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