Essay
A warehouse with an adjusted basis of $125,000 was destroyed by a tornado on April 15,2018.On June 15,2018,the insurance company paid the owner $195,000.The owner reinvested $170,000 in a warehouse.What is the basis of the new warehouse if non-recognition of gain from an involuntary conversion is elected?
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$125,000
There is a $70,000 realized gai...View Answer
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Correct Answer:
Verified
There is a $70,000 realized gai...
View Answer
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