Miguel Gives Roberta Land with an Adjusted Basis of $50,000

question 9

Multiple Choice

Miguel gives Roberta land with an adjusted basis of $50,000 and an FMV of $40,000. No gift tax is paid. Roberta sells the land for $36,000. Roberta recognizes

• A)no loss.
• B)a $4,000 loss.
• C)a $14,000 loss.
• D)none of the above

---

Definitions:

Placebo Effect

The phenomenon in which a patient's symptoms can improve after receiving a fake treatment or substance, due to their belief in its efficacy rather than any therapeutic effect.

Sampling Bias

A systematic error that occurs when a sample is not representative of the population from which it is drawn, potentially leading to distorted findings.

Informed Consent

A process ensuring that a participant fully understands and agrees to the procedures, risks, and rights involved in a study or treatment.

Ethical Principle

Fundamental guidelines that dictate the conduct of individuals and organizations, often used to determine what is right or wrong in various situations.