Janice bought her house in 2008 for $395,000. since then, she has deducted $70,000 in depreciation associated with her home offi
ce and has spent $45,000 replacing all the old pipes and plumbing. she sells the house on july 1, 2017. her realtor charged $34,700 in commissions. prior to listing the house with the realtor, she spent $300 advertising in the local newspaper. don buys the house for $500,000 in cash and assumes her mortgage of $194,000. what is janice's adjusted basis at the date of the sale and the amount realized
At the time of sale, Janice's adjusted basis is $405,000 computed as follows: $405,000 = $395,000 (original price) + $45,000 (for replacing old pipes and plumbing) + $34,700 (realtor's commission) + $300 (advertising) - $70,000 (depreciated amount). The amount realized is $694,000 computed as: $694,000 = $500,000 (cash paid) + $194,000 (mortgage assumed by the buyer).
A soft drink will definitely be a poor comparison menu because it initially started the experiment with a bacon cheeseburger. From the experiment, it doesn't correlate with the representativeness.
A progressive tax takes a larger percentage of income from high income groups than from low income groups and is based on the concept of ability to pay.
