Question
Peyton sells an office building and the associated land on May 1, 2016. Under the terms of the sales contract, Peyton is to receive $2,569,000
Peyton sells an office building and the associated land on May 1, 2016. Under the terms of the sales contract, Peyton is to receive $2,569,000 in cash. The purchaser is to assume Peyton's mortgage of $1,541,400 on the property. To enable the purchaser to obtain adequate financing, Peyton is to pay the $154,140 in points charged by the lender. The broker's commission on the sale is $102,760. The purchaser agrees to pay the $30,828 in property taxes for the entire calendar year.
What is Peytons amount realized? Do not round any division. Round interim calculations to the nearest dollar and use rounded amount in subsequent computations. Determine any allocation based on months (not days). The amount realized by Peyton is?
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