Peterson owns an apartment building with FMV $300,000 and adjusted basis $90,000, encumbered by a mortgage of $140,000. He exchanges it for a similar building with FMV $260,000, and assumes the other party's $100,000 mortgage. How much gain does Peterson recognize on the exchange? $140,000 $210,000 Zero $40,000 The statute of limitations runs three years from: The earlier of due date or date of filing. The later of due date or date of filing The due date of the return. The date the return is filed. Farmer Frank sold a piece of farmland at a gain of $20,000, and a tractor at a loss of $8,000. Both assets had been held for five years. He sold no other business or investment assets. What is the result on Frank's return? $12,000 long-term capital gain $20,000 long-term capital gain $12,000 ordinary income $20,000 long-term capital gain and $8,000 ordinary loss Peterson owns an apartment building with FMV $300,000 and adjusted basis $90,000, encumbered by a mortgage of $140,000. He exchanges it for a similar building with FMV $260,000, and assumes the other party's $100,000 mortgage. How much gain does Peterson recognize on the exchange? $140,000 $210,000 Zero $40,000 The statute of limitations runs three years from: The earlier of due date or date of filing. The later of due date or date of filing The due date of the return. The date the return is filed. Farmer Frank sold a piece of farmland at a gain of $20,000, and a tractor at a loss of $8,000. Both assets had been held for five years. He sold no other business or investment assets. What is the result on Frank's return? $12,000 long-term capital gain $20,000 long-term capital gain $12,000 ordinary income $20,000 long-term capital gain and $8,000 ordinary loss