Apple Corporation and Banana Corporation File Consolidated Returns $$\begin{array} { | l | l | } \hline 2007 & 2008 \\\hline \$ 30,000 & \$ 50,000 \\\hline\end{array}$$

question 8

Multiple Choice

Apple Corporation and Banana Corporation file consolidated returns. In January 2007, Apple sold Banana property with a basis of $120,000 for its fair value of $150,000. Banana sold the property to an unrelated party in April 2008 for $200,000. What amount of gain should be reported for these transactions in the consolidated returns for 2011 and 2012?

• A) \[\begin{array} { | l | l | }
• \hline 2007 & 2008 \\
• \hline \$ 30,000 & \$ 50,000 \\
• \hline
• \end{array}\]
• B) \[\begin{array} { | l | l | }
• \hline 2007 & 2008 \\
• \hline \$ 0 & \$ 50,000 \\
• \hline
• \end{array}\]
• C) \[\begin{array} { | l | l | }
• \hline 2007 & 2008 \\
• \hline \$ 30,000 & \$ 80,000 \\
• \hline
• \end{array}\]
• D) \[\begin{array} { | l | l | }
• \hline 2007 & 2008 \\
• \hline \$ 0 & \$ 80,000 \\
• \hline
• \end{array}\]

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A part of the brain located in the brainstem, involved in regulating bodily functions and playing a key role in sleep and dreaming.

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A part of the brainstem responsible for regulating vital body functions such as breathing, heart rate, and blood pressure.

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