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Scenario: In October 2021, Chen sells property with an adjusted basis of $40,000 for $200,000. The buyer pays Chen $40,000 cash at the time of

Scenario: In October 2021, Chen sells property with an adjusted basis of $40,000 for $200,000. The buyer pays Chen $40,000 cash at the time of sale transaction with the remaining $160,000 to be paid in five annual installments of $32,000 beginning in November 2022 with interest at 10%

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