Nelson Whiting (Single) Purchased a Home in Denver, Colorado for $300,000

question 81

Short Answer

Nelson Whiting (single) purchased a home in Denver, Colorado for $300,000. He moved into the home on July 1 of year 1. He lived in the home as his primary residence until December 1, year 2 when he sold the home for $450,000. Nelson sold the home because he was changing jobs and his new job was in a different state. What amount of gain must Nelson recognize on the home sale in year 2?

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Definitions:

Sucrose

A disaccharide composed of glucose and fructose, commonly known as table sugar.

Ribose

A five-carbon sugar that is a key component of RNA (ribonucleic acid) and essential for various biological processes.

RNA

Ribonucleic acid, a nucleic acid present in all living cells that acts as a messenger carrying instructions from DNA for controlling the synthesis of proteins.

Structural Component

An element or part of a larger structure, which contributes to its build and integrity.