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On July 1 of the current year, Mr. A, a cash-method taxpayer, sold a painting for which he received $50,000 in cash and a note

On July 1 of the current year, Mr. A, a cash-method taxpayer, sold a painting for which he received $50,000 in cash and a note with a face value of $50,000 and a fair market value of $35,000. He paid a commission of $5,000 on the sale. Mr. A had acquired the painting 15 years ago, and his basis was $5,000. What is A

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