Question
Required information [The following information applies to the questions displayed below.] Wanting to finalize a sale before year-end, on December 29, WR Outfitters sold to
Required information
[The following information applies to the questions displayed below.]
Wanting to finalize a sale before year-end, on December 29, WR Outfitters sold to Bob a warehouse and the land for $143,000. The appraised fair market value of the warehouse was $93,000, and the appraised value of the land was $146,250. (Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount.)
a. What is Bobs basis in the warehouse and in the land?
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b. What would be Bobs basis in the warehouse and in the land if the appraised value of the warehouse was $68,000, and the appraised value of the land was $143,000?
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