Elizabeth Exchanges Her Retail Storage Assets for Retail Displays

question 34

Multiple Choice

Elizabeth exchanges her retail storage assets for retail displays.In this like-kind exchange,Elizabeth receives $2,000 in cash.The storage assets have a fair market value of $12,000 and Elizabeth's basis in the assets is $3,000.The displays have a fair market value of $10,000 and a basis of $8,000.What is Elizabeth's basis in the displays received in the exchange?

• A)$9,000
• B)$6,000
• C)$3,000
• D)zero

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Definitions:

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Having the ability to read and write.

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A phrase indicating a group is both equipped for conflict and cohesive in its unity, potentially for a common cause or defense.

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Classifications of humans into groups based on physical traits, ancestry, genetics, or social relations, often used for social or political purposes.