$0. $105000. $350000. $400000. None of the above requires the determination

$0. $105000. $350000. $400000. None of the above requires the determination

admin / July 3, 2018

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None of the above
requires the determination of adjusted gross income.
allows a deduction for dependency exemptions.
allows a deduction for personal exemptions.
allows a deduction for the standard deduction.
None of the above

Herbert exchanges a business machine which has an adjusted basis of $40000 for a new machine worth $40000. In addition he receives cash
of $10000. What is the recognized gain or loss and the basis of the new machine?

Claudia sells property for a sales price of $170000. In addition Karma the buyer pays $5000 in property taxes that had accrued during the year while the
property was still legally owned by Claudia. Claudia paid $9000 in commissions and $1500 in legal fees connected with the sale of her property. What is the
amount realized by Claudia from the sale of her property?

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