Noelle Owns an Automobile Which She Uses for Personal Use

Multiple Choice

Noelle owns an automobile which she uses for personal use. Her adjusted basis is $45,000 (i.e., the original cost) . The car is worth $22,000. Which of the following statements is correct?

A) If Noelle sells the car for $22,000, her realized loss of $23,000 is not recognized.
B) If Noelle exchanges the car for another car worth $22,000, her realized loss of $23,000 is not recognized.
C) If the car is stolen and it is uninsured, Noelle may be able to recognize part of her realized loss of $23,000.
D) Only a. and b. are correct.
E) a., b., and c. are correct.