Which Statement Below Is True with Regard to Property Transactions

Multiple Choice

Which statement below is true with regard to property transactions?

A) The amount realized represents the economic value received by the taxpayer.
B) The amount recognized represents the economic value received by the taxpayer.
C) A recognized loss generally is deferred to later tax years.
D) A recognized gain may be included in the computation of taxable income but may not be offset against loss for the year.