Question 7 Not yet answered Points out of 1.0 Mike and Linda, a married couple who live in San Diego, own a home with a basis of $140,000, which they purchased in 2012. During 2016, they spent $60,000 repainting the home and remodeling the kitchen. In November 2019, they sold the home for $800,000 and paid a 6% commission to the real estate agent. They purchased a new home for $780,000 in December 2019. What is their recognized gain on the sale of their home? P Flag question Select one: a $112,000 b. $0 c. $52,000 d. None of the choices listed are correct. e $100,000 In 2019, a taxpayer exchanges a business use machine with an adjusted basis of $9,000 and a fair market value of $14,500 for another business use machine with a fair market value of $13,000 and $1,500 cash. What is taxpayer's recognized gain? Question 12 Not yet answered Points out of 1.0 P Flag question Select one: a. $5,500 b. $1,500 c. SO d. $7,000 e. None of the choices listed are correct