Problem 4-8 Sale of a Personal Residence (LO 4.6) Larry Gaines, a single taxpayer, age 42,...

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Problem 4-8 Sale of a Personal Residence (LO 4.6) Larry Gaines, a single taxpayer, age 42, sells his personal residence on November 12, 2022, for $168,000. He lived in the house for 7 years. The expenses of the sale are $10,080, and he has made capital improvements of $8,800. Larry's cost basis in his residence is $87,500. On November 30, 2022, Larry purchases and occuples a new residence at a cost of $155,000. Calculate Larry's realized gain, recognized gain, and the adjusted basis of his new residence. If an amount is zero, enter "0". < a. Realized gain b. Recognized gain c. Adjusted basis of new residence 61,620 0 X Problem 4-8 Sale of a Personal Residence (LO 4.6) Larry Gaines, a single taxpayer, age 42, sells his personal residence on November 12, 2022, for $168,000. He lived in the house for 7 years. The expenses of the sale are $10,080, and he has made capital improvements of $8,800. Larry's cost basis in his residence is $87,500. On November 30, 2022, Larry purchases and occuples a new residence at a cost of $155,000. Calculate Larry's realized gain, recognized gain, and the adjusted basis of his new residence. If an amount is zero, enter "0". < a. Realized gain b. Recognized gain c. Adjusted basis of new residence 61,620 0 X