Question
Rafael sold an asset to Jamal. What is Rafael's amount realized on the sale in each of the following alternative scenarios? a. Rafael received $111,500
Rafael sold an asset to Jamal. What is Rafael's amount realized on the sale in each of the following alternative scenarios?
a. Rafael received $111,500 cash and a vehicle worth $10,900. Rafael also pays $5,800 in selling expenses. Amount realized is?
b. Rafael received $121,000 cash and was relieved of a $33,250 mortgage on the asset he sold to Jamal. Rafael also paid a commission of $6,950 on the transaction. Amount realized is?
c. Rafael received $43,250 cash, a parcel of land worth $94,500, and marketable securities of $11,500. Rafael also paid a commission of $9,850 on the transaction. Amount realized is?
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