Amos Sells His Principal Residence,which Has an Adjusted Basis of $100,000

Multiple Choice

Amos sells his principal residence,which has an adjusted basis of $100,000 for $150,000.He incurs selling expenses and legal fees of $6,000.He had purchased another residence one month prior to the sale for $140,000.What is the recognized gain or loss and the basis of the replacement residence if the taxpayer elects to forgo the § 121 exclusion (exclusion of gain on sale of principal residence) ?

A) $0 and $100,000.
B) $0 and $140,000.
C) $44,000 and $100,000.
D) $44,000 and $140,000.
E) None of the above.