Zaan Vasilakis bought a vacation home for $255,000, plus $500 in legal fees, and $4,500 in other closing costs. He also gave his realtor a gift card for $100. What is the basis of his vacation home?

a. $255,000

b. $259,500

c. $260,000

d. $260,100

Greg and Anne sold their house for $249,000. Which of these expenses would be subtracted from their basis to determine their gain?

a. Depreciation.

b. Legal fees.

c. Miscellaneous closing costs.

d. Sales commission.