Moran owns a building he bought during year 0 for $150,000. He sold the building in year 6 and received $169,000. During the time he held the building he depreciated it by $32,000. What is the amount of the unrecaptured §1250 gain?

Moran owns a building he bought during year 0 for $150,000. He sold the building in year 6 and received $109,000. During the time he held the building he depreciated it by $32,000. What is the amount of the unrecaptured §1250 gain?

Bourne Guitars, a corporation, reported a $157,000 net §1231 gain for year 6. Bourne reported $51,000 of non-recaptured §1231 losses during years 1–5. What amount of Bourne’s net §1231 gain for year 6, if any, is treated as ordinary income?

Answer rating: 100% (QA)

Ques 6 Ques 7 Amount realised A 169000 109000 Original basis B 150000 150000 Accumulated depreciat... View the full answer