Several Years Ago, E Received 50 Acres of Undeveloped Land

question 9

Multiple Choice

Several years ago, E received 50 acres of undeveloped land as a gift from her grandmother.The land had cost $20,000 15 years ago, but was appraised at $50,000 on the date of the gift.E's grandmother paid gift taxes of $12,000 on this $36,000 taxable gift ($50,000 fair value - $14,000 annual gift tax exclusion) .If E sells the land this year for $32,000 (net of selling expenses) , what is her gain or loss on the sale?

• A)$2,000 gain
• B)$4,000 loss
• C)$18,000 loss
• D)No gain or loss

---

Definitions:

Life Span Development

The study of how individuals grow, change, and adapt at different life stages, from conception to death, incorporating physical, cognitive, and socioemotional changes.

Clinical Practitioners

Healthcare professionals, such as doctors and therapists, who apply theoretical and empirical knowledge to diagnose and treat patients.

Human Behavior

Actions and mannerisms exhibited by individuals, influenced by culture, attitudes, emotions, values, and genetics.

Internal Validity

The accuracy with which a study can pinpoint one of various possible factors as the cause of a phenomenon.