Kelly Inherits Land Which Had a Basis to the Decedent

question 62

Multiple Choice

Kelly inherits land which had a basis to the decedent of $95,000 and a fair market value of $50,000 on August 4,2016,the date of the decedent's death.The executor distributes the land to Kelly on November 12,2016,at which time the fair market value is $49,000.The fair market value on February 4,2017,is $45,000.In filing the estate tax return,the executor elects the alternate valuation date.Kelly sells the land on June 10,2017,for $48,000.What is her recognized gain or loss?

• A)($1,000)
• B)($2,000)
• C)($47,000)
• D)$1,000
• E)None of the above

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Definitions:

Eclectic Approach

An approach to psychotherapy that, depending on the client’s problems, uses techniques from various forms of therapy.

Therapeutic Approaches

Various methodologies and practices used in psychological treatment to help individuals deal with mental health issues, emotional challenges, and behavioral problems.

Psychological Theories

Formal ideas proposed to explain how and why human behaviors, thoughts, and feelings develop.

Transference

In psychoanalysis, a phenomenon where a patient projects feelings about important figures in their life onto the therapist.