LO.1 During the year, Eric had the four property transactions summarized below. Eric is a collector of antique automobiles and occasionally sells one to get funds to buy another.

What are the amount and nature of the gain or loss from each of these transactions?

Property Date Acquired Date Sold Adjusted Basis Sales Price Antique truck 06/18/99 05/23/10 $47,000 $42,000 Blue Growth Fund

(100 shares) 12/23/01 11/22/10 12,000 28,000 Orange bonds 02/12/02 04/11/10 34,000 42,000*

Green stock

(100 shares) 02/14/10 11/23/10 13,000 11,000

*The sales price included $750 of accrued interest income.

DECISION MAKING