Glen Owns a Building That Is Used in Business

question 51

Multiple Choice

Glen owns a building that is used in business.The building is worth $200,000,but is subject to a mortgage of $40,000.Glen's basis in the building is $120,000.Glen exchanges the building for investment land worth $150,000 plus $10,000 cash.In addition,the other party assumes the mortgage which will be held for investment.Glen must recognize a gain of

• A)$0.
• B)$10,000.
• C)$50,000.
• D)$80,000.

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Definitions:

Administrative Rule

A regulation issued by government agencies that has the force of law, governing the implementation of specific statutes.

Consumer Law

A statute or administrative rule serving to protect consumer interests.

Consumer Interests

The priorities and concerns of individuals in their role as consumers, focusing on the protection and promotion of their rights and well-being.

Consumer Product Safety Commission

The Consumer Product Safety Commission is a U.S. federal agency responsible for protecting the public from risks of injury or death associated with consumer products.