Question
Troy (single) purchased a home in Hopkinton, Massachusetts, on January 1, 2007, for $290,000. He sold the home on January 1, 2020, for $312,700. How
Troy (single) purchased a home in Hopkinton, Massachusetts, on January 1, 2007, for $290,000. He sold the home on January 1, 2020, for $312,700. How much gain must Troy recognize on his home sale in each of the following alternative situations? (Leave no answer blank. Enter zero if applicable.)
a. Troy rented out the home from January 1, 2007, through November 30, 2008. He lived in the home as his principal residence from December 1, 2008, through the date of sale. Assume accumulated depreciation on the home at the time of sale was $12,500.
b. Troy lived in the home as his principal residence from January 1, 2007, through December 31, 2015. He rented out the home from January 1, 2016, through the date of the sale. Assume accumulated depreciation on the home at the time of sale was $6,950.
c. Troy lived in the home as his principal residence from January 1, 2007, through December 31, 2017. He rented out the home from January 1, 2018, through the date of the sale. Assume accumulated depreciation on the home at the time of sale was $0.
d. Troy rented out the home from January 1, 2007, through December 31, 2015. He lived in the home as his principal residence from January 1, 2016, through December 31, 2016. He rented out the home from January 1, 2017, through December 31, 2017, and lived in the home as his principal residence from January 1, 2018, through the date of the sale. Assume accumulated depreciation on the home at the time of sale was $0. (Do not round intermediate calculations. Round your final answer to the nearest whole dollar amount.)
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