Vanessa's Personal Residence Was Condemned, and She Received a Condemnation

Multiple Choice

Vanessa's personal residence was condemned, and she received a condemnation award of $475,000.Vanessa had owned and occupied the residence for 15 years.The adjusted basis in the residence at the time of condemnation was $200,000.Vanessa used part of the condemnation proceeds to purchase a new residence for $210,000.What is Vanessa's recognized gain or loss and her basis in the new residence?

A) $0; $185,000.
B) $0; $210,000.
C) $15,000; $200,000.
D) $25,000; $210,000.
E) None of the above.