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Don,who is single,sells his personal residence on October 5,2010,for $380,000.His adjusted basis was $102,000.He pays realtor's commissions of $18,000.He owned and occupied the residence for 14 years.Having decided that he no longer wants the burdens of home ownership,he invests the sales proceeds in a mutual fund and enters into a 1-year lease on an apartment.The detriments of renting,including a crying child next door,cause Don to rethink his decision.Therefore,he purchases another residence on November 6,2011,for $188,000.Is Don eligible for exclusion of gain treatment under § 121 (exclusion of gain on sale of principal residence)? Calculate Don's recognized gain and his basis for the new residence.
American Women
Females who are citizens or residents of the United States, with varied backgrounds, cultures, and life experiences.
Theory of Planned Behavior
A psychological theory that links beliefs and behavior, suggesting that a person's behavior is determined by their intention to perform the behavior and that this intention is influenced by their attitude, subjective norms, and perceived control over the behavior.
Meta-Analysis
A statistical technique that combines the results of multiple scientific studies to derive a more precise estimate of the effect of an intervention or the strength of a relationship.
Predictive Value
The ability of a test or measure to accurately forecast the presence or outcome of a condition or disease.
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