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Riley gives Elizabeth property worth $20,000 as a gift. Riley's basis in the property is $16,000. a. What is Elizabeth's basis in the property received?

Riley gives Elizabeth property worth $20,000 as a gift. Riley's basis in the property is $16,000.

a. What is Elizabeth's basis in the property received?

b. If the fair market value on the date of the gift is $10,000 and Elizabeth sells the property for $8,000, what is Elizabeth's basis in the property?

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