Compute the gain or loss on the sale

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Reference no: EM131189875

A taxpayer paid $500,000 for a small industrial property (80 percent of the value is properly attributable to the building, the balance to the land) and incurred transaction costs that equaled five percent of the purchase price. During her 18th month of ownership, she sold the property for $550,000 and paid transaction costs equal to eight percent of the sales price. Compute the gain or loss on the sale.

Reference no: EM131189875

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