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anastassius [24]
2 years ago
8

On February 1, Alan, a single individual, purchased his first personal residence for $400,000. On July 1, Alan sold this residen

ce for $460,000 because he accepted a new job in another state. Consequently, Alan occupied the home for only 150 days. How much gain must Alan recognize
Business
1 answer:
zavuch27 [327]2 years ago
3 0

Answer:

Recognized gain = $60000

Explanation:

Below is the calculation:

Price of personal resident = $400000

Selling price = $460000

Since Alan purchased the house for $400000 and selling it for $460000. Therefore recognized gain can be determined by subtracting the purchase price from the selling price.

Recognized gain = $460000 - $400000

Recognized gain = $60000

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