During 2016,Ted and Judy,a Married Couple,decided to Sell Their Residence,which

question 22

Multiple Choice

During 2016,Ted and Judy,a married couple,decided to sell their residence,which had a basis of $300,000.They had owned and occupied the residence for 20 years.To make it more attractive to prospective buyers,they had the outside painted in April at a cost of $6,000 and paid for the work immediately.They sold the house in May for $880,000.Broker's commissions and other selling expenses amounted to $53,000.Since they both are age 68,they decide to rent an apartment.They purchase an annuity with the net proceeds from the sale.What is the recognized gain?

• A)$0
• B)$17,000
• C)$27,000
• D)$527,000
• E)None of the above

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Definitions:

Comorbid

The co-occurrence of two or more disorders or diseases in the same individual, often complicating the diagnosis, treatment, and prognosis of each.

Cocaine Use Disorder

A medical condition characterized by uncontrolled cocaine use, leading to significant distress or impairment.

Bipolar Disorder

A mental health condition characterized by extreme mood swings that include emotional highs (mania or hypomania) and lows (depression).

Polysubstance

The use of multiple drugs simultaneously or at different times within a short period, often with the intention of enhancing or counteracting the effects of another substance.