Please answer the following scenarios regarding excluding income from gross income:

1-10. On November 1, year 1, Jamie (who is single) purchased and moved into her principal residence. In the early part of year 2, Jamie was laid off from her job. On February 1, year 2, Jamie sold the home at a $38,000 gain. She sold the home because she found a new job in a different state. How much of the gain, if any, may Jamie exclude from her gross income in year 2?

Multiple Choice

• $0
• $3,800
• $31,250
• $38,000

1-11. Michael (single) purchased his home on July 1, 2012. He lived in the home as his principal residence until July 1, 2020, when he moved out of the home, and rented it out until July 1, 2021, when he moved back into the home. On July 1, 2022, he sold the home and realized a $345,000 gain. What amount of the gain is Michael allowed to exclude from his 2022 gross income?

Multiple Choice

• $0
• $225,000
• $250,000
• $345,000

1-12. Ethan (single) purchased his home on July 1, 2012. He lived in the home as his principal residence until July 1, 2019, when he moved out of the home, and rented it out until July 1, 2021, when he moved back into the home. On July 1, 2022, he sold the home and realized a $177,500 gain. What amount of the gain is Ethan allowed to exclude from his gross income?

Multiple Choice

• $0
• $142,000
• $167,500
• $177,500