Bryan owns a fitness center called Peak Performance Gym. During the past year, Bryan sold his facility to purchase a larger building with a parking lot. He received sales proceeds of $140,000 from the buyer. He paid a sales commission of $7,500 to his broker. The building had an original cost of $115,000 and had accumulated depreciation for tax purposes of $18,250. What is Bryan's realized gain or loss on the sale?

Bryan owns a fitness center called Peak Performance Gym. During the past year, Bryan sold his facility to purchase a larger building with a parking lot. He received sales proceeds of $140,000 from the buyer. He paid a sales commission of $7,500 to his broker. The building had an original cost of $115,000 and had accumulated depreciation for tax purposes of $18,250. What is Bryan's realized gain or loss on the sale?

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter10: Cost Recovery On Property: Depreciation, Depletion, And Amortization

Section: Chapter Questions

Problem 52P

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