QUESTION 21 1. Sanders, a 62-year-old single individual, sold his principal residence for the net amount of $500,000 after all selling expenses. Sanders bought the house 15 years ago and has occupied it until it sold. On the date of sale, the house had a cost basis of $200,000. Within six months, Sanders purchased a new house for $600,000. What amount of gain should Sanders recognize from the sale of the residence? $50,000 CSO $175.000 $300,000 QUESTION 22 1. Which of the following methods is not allowed for tax purposes if Fio (first in first out) is used for financial reporting? UFO last in first out) c FIFO Weighted average Specific identification c Lower of cost or market QUESTION 23 1. During the current year, Angie has a Section 1231 gain of $16,000 and a Section 1231 loss of $10,000. Three years ago, Angle reported a net Section 1231 loss of $5,000. These are the only two years in which Angle has had Section 1231 geins or losses. What is the long-term capital gain amount of any. that Ange will report for the current year? I $1,000 C$0 $5,000 $6,000