An Individual Had the Following Gains and Losses During 2015

question 90

Multiple Choice

An individual had the following gains and losses during 2015 on property held for the long-term holding period: sale of Orange common stock ($8,000 gain) ;sale of real property used in the taxpayer's business ($1,800 loss) ;destruction of real property used in the taxpayer's business by fire ($1,000 loss) .Which of the following statements is correct?

• A)The fire loss would reduce the real property sale loss.
• B)The fire loss would reduce the stock sale gain.
• C)The sale of real property loss would be netted against the stock sale gain.
• D)The sale of real property is a § 1231 loss.
• E)None of the above.

---

Definitions:

Previous Quarter

A period of three months immediately preceding the current one, used in financial and business reporting.

Service Rendered

The act of providing a service or assistance to someone, typically in a professional context.