Wilma Waters Purchased Land from Carl Carmichael for $32,000 Cash

Multiple Choice

Wilma Waters purchased land from Carl Carmichael for $32,000 cash, the assumption of an existing mortgage of $43,000, and payment of delinquent back taxes of $8,300. Carl's adjusted basis in the land that he had purchased as an investment was $85,000. Carl also incurred $9,330 in selling costs. What is Carl's recognized gain or loss?

A) ($19,330)
B) ($11,030)
C) ($1,700)
D) $7,630
E) $11, 030