Alice Owns Land with an Adjusted Basis of $610,000,subject to a Mortgage

question 12

Multiple Choice

Alice owns land with an adjusted basis of $610,000,subject to a mortgage of $350,000.Real estate taxes are $9,000 per calendar year and are payable on December 31.On April 1,2010,Alice sells her land subject to the mortgage for $650,000 in cash,a note for $600,000,and property with a fair market value of $120,000.What is the amount realized?

• A)$1,370,000.
• B)$1,372,219.
• C)$1,720,000.
• D)$1,722,219.
• E)None of the above.

---

Definitions:

1960s

The decade ranging from 1960 to 1969, notable for significant cultural, political, and social change worldwide.

Foster Care System

A government or private system designed to temporarily provide care for children who are unable to live with their biological families, often due to abuse or neglect.

Reunited

Brought back together after a period of separation.

Authoritarian Parents

Parents who enforce strict discipline and high expectations through a regulatory and controlling approach.