Ben and Miranda recently sold some land they owned for $150,000. They received the land and a check equal to the amount of the then-current annual exclusion five years ago as a wedding gift from Ben's Aunt Addison. They also received a check equal to the annual exclusion on their wedding date. Aunt Addison purchased the land many years ago when the property was worth $20,000. At the date of the gift, the property was worth $100,000 and Aunt Addison paid $47,000 in gift tax. What is the long term capital gain on the sale of the property? Group of answer choices d. $130,000. b. $50,000. a. $42,400. c. $92,400.

Ben and Miranda recently sold some land they owned for $150,000. They received the land and a check equal to the amount of the then-current annual exclusion five years ago as a wedding gift from Ben's Aunt Addison. They also received a check equal to the annual exclusion on their wedding date. Aunt Addison purchased the land many years ago when the property was worth $20,000. At the date of the gift, the property was worth $100,000 and Aunt Addison paid $47,000 in gift tax. What is the long term capital gain on the sale of the property? Group of answer choices d. $130,000. b. $50,000. a. $42,400. c. $92,400.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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