What is the gain or loss realized on the sale

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Bob sells a stock investment for $45,000 cash, and the purchaser assumes Bob's $32,500 debt on the investment. The basis of Bob's stock investment is $55,000. What is the gain or loss realized on the sale?

A. $10,000 loss

B. $10,000 gain

C. $12,500 gain

D. $22,500 loss

E. $22,500 gain

Reference no: EM13874834

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