Joycelyn Gave a Diamond Necklace to Her Granddaughter Emma

question 6

Multiple Choice

Joycelyn gave a diamond necklace to her granddaughter Emma.Joycelyn had purchased the necklace in 1980 for $20,000.The FMV of the necklace at the time of the gift was $50,000.After deducting the annual exclusion,the amount of the gift was $35,000.Gift taxes of $10,000 were paid.What is Emma's adjusted basis in the necklace?

• A)$20,000
• B)$28,571
• C)$30,000
• D)$50,000

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Definitions:

Immediate Follow

This term may refer to the next event or action that occurs right after another in a sequence, but its specific context is necessary for a precise definition.

Escape Learning

Learning to perform a behavior because it prevents or terminates an aversive stimulus.

Avoidance Learning

A process by which an individual learns to prevent the occurrence of an unpleasant or harmful stimulus by taking specific actions.

Extinction Learning

A phenomenon in which a conditioned response decreases and eventually disappears as the conditioned stimulus is repeatedly presented without the unconditioned stimulus.