Shoe Corporation and Sock, Inc. exchanged two pieces of property in a qualifying like-kind exchange. Stuff...

 

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Shoe Corporation and Sock, Inc. exchanged two pieces of property in a qualifying like-kind exchange. Stuff That Shoe Exchanged 4/1/03 $410,000 $630,000 Stuff That Sock Exchanged 11/15/02 $805,000 FMV on exchange date $765,000 Cash Boot $ 135,000 5.-0. (a) Calculate Shoe Corporation s i) realized and ii) recognized gain or loss on this transaction and iii) basis in the new property. (b) Calculate Sock, Inc. s i) realized and ii) recognized gain or loss on this transaction and iii) basis in the new Original purchase Adjusted basis on exchange date property. Shoe Corporation and Sock, Inc. exchanged two pieces of property in a qualifying like-kind exchange. Stuff That Shoe Exchanged 4/1/03 $410,000 $630,000 Stuff That Sock Exchanged 11/15/02 $805,000 FMV on exchange date $765,000 Cash Boot $ 135,000 5.-0. (a) Calculate Shoe Corporation s i) realized and ii) recognized gain or loss on this transaction and iii) basis in the new property. (b) Calculate Sock, Inc. s i) realized and ii) recognized gain or loss on this transaction and iii) basis in the new Original purchase Adjusted basis on exchange date property.