Find gain should be recognized in reed income tax return

Reference no: EM13135255

Joan Reed exchanged commercial real estate that she owned for other commercial real estate plus cash of $50,000. The following additional information pertains to this transaction:

Property given up by Reed:
Fair Market Value $500,000
Adjusted Basis 300,000

Property received by Reed:
Fair Market Value 450,000

What amount of gain should be recognized in Reed's income tax return?
a. $200,000
b. $150,000
c. $50,000
d. $0

Reference no: EM13135255

Questions Cloud

Volume of an n-dimensional sphere : Finding formulas for the volume enclosed by a hypersphere in n-dimensional space.

Expense of employee jobs : Prepare a written assignment or ethical issue analysis involving using IMA standards to determine an employer's responsibility when cost savings come at the expense of employees' jobs.

Which statement is true regarding accounting and time frames : Which statement is true regarding accounting and time frames?

Sphere inside of cube-ratio of volumes : A cube has a sphere inscribed inside of it. It has another sphere circumscribed on the outside ot if (it being the cube). What is the ratio of the volume of the inside sphere to the volume of the outside sphere?

Find gain should be recognized in reed income tax return : Joan Reed exchanged commercial real estate that she owned for other commercial real estate plus cash of $50,000. The following additional information pertains to this transaction.

Calculate the molarity of a solution : Calculate the molarity of a solution made by dissolving 0.0715 mol Na2SO4 in enough water to form exactly 550. mL of solution

Find the maximum height reached by the camera : A camera falls from a blimp that is 485 m above the ground and rising at a speed of 16.8 m/s. Find the maximum height reached by the camera with respect to the ground. The acceleration of gravity is 9.8 m/s2

What total amount can wood deduct as a 2009 itemized : In 2009, Wood's residence had an adjusted basis of $150,000, and it was destroyed by a tornado. An appraiser valued the decline in the market value at $175,000. Later that same year,

Carrying value of montana inventory : Montana Co. has determined its year-end inventory on a FIFO basis to be $600,000. Information pertaining to that inventory is as follows: What should be the carrying value of Montana's inventory?

User Account

All Pages