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irakobra [83]
3 years ago
6

Kase, an individual, purchased some property in Potomac, Maryland, for $217,000 approximately 10 years ago. Kase is approached b

y a real estate agent representing a client who would like to exchange a parcel of land in North Carolina for Kase’s Maryland property. Kase agrees to the exchange.
Mathematics
1 answer:
Advocard [28]3 years ago
7 0

The question is incomplete.

The complete question is

Kase, an individual, purchased some property in Potomac, Maryland, for $217,000 approximately 10 years ago. Kase is approached by a real estate agent representing a client who would like to exchange a parcel of land in North Carolina for Kase’s Maryland property. Kase agrees to the exchange.

What is Kase’s realized gain or loss, recognized gain or loss, and basis in the North Carolina property in each of the following alternative scenarios? (Loss amounts should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable.)

a. The transaction qualifies as a like-kind exchange and the fair market value of each property is $907,500.

b. The transaction qualifies as a like-kind exchange and the fair market value of each property is $199,000.

Answer:

A. Realized gain(907500-217000)= 609,500

Recognized gain= 0

Adjustment basis in new property=217,000.

B. Realised loss ( 199000 - 217000) = 18,000

Recognized loss= 0

Adjusted basis in new property= 217000

Step-by-step explanation:

A.

Realized gain(907500-217000)= 609,500

Recognized gain= 0

Adjustment basis in new property=217,000.

Here , we find that Kase has realised gain of $ 690,500 but recognised gain of $ 0 . It is so because Kase did not receive any boot and the transaction is a like-kind exchange. Therefore, the adjusted basis in new property = $ 217,000 ( as no gain is recognised ).

B.

Realised loss ( 199000 - 217000 )= 18,000

Recognized loss= 0

Adjusted basis in new property= 217000

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<h3>How to calculate measures of central tendency?</h3>

In Mathematics, there are three (3) main measures of central tendency and these include the following:

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Mathematically, the mean for this data set would be calculated by using this formula:

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For the median, we have:

First of all, we would order the data from lowest to highest and then determine the median as follows:

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In conclusion, a box plot of the measures of central tendency for this data set is shown in the image attached below.

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