The Building Used in Terry's Business Was Condemned by the City

question 52

Multiple Choice

The building used in Terry's business was condemned by the city of St.Louis.Terry received a condemnation award of $125,000.He paid $1,200 in lawyer's fees and $800 for an appraisal of the property.Terry's adjusted basis in the building was $60,000.Terry reinvests in similar property costing $110,000,and Terry makes the proper election regarding the property.What is the amount of Terry's recognized gain on the condemnation?

• A)$15,000
• B)$13,000
• C)$50,000
• D)$63,000

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Definitions:

Eadweard Muybridge

A pioneer in photographic studies of motion and early motion-picture projection, famously known for his sequence photography of animals in motion.

Post-Impressionism

The term used to describe the stylistically heterogeneous work of the group of late-19th-century painters in France, including van Gogh, Gauguin, Seurat, and Cézanne, who more systematically examined the properties and expressive qualities of line, pattern, form, and color than the Impressionists did.

Impressionist Precepts

Guidelines or principles that define the Impressionism art movement, focusing on capturing the momentary effects of light and color.

Stylistically Homogeneous

Having a uniform style throughout; consistent in appearance, structure, or design across different elements or parts.