1. Sally has the following for 2021: a $12,000 § 1245 gain a $38,000 § 1231 gain a $36,000 § 1231 loss a $2,000 § 1231 lookback loss a $18,000 long- term capital gain a $3,500 long - term capital loss. 

a. Determine her ordinary gain or loss amount for 2021. Enter an absolute amount. 

b. Determine her LTCG or LTCL amount for 2021. Enter an absolute amount. 

2. Molly exchanges a rental building, which has an adjusted basis of $625,000, and FMV of $715,000 for another rental house which has a fair market value of $565,000. She also receives $150,000 in cash. What is the recognized gain or loss the new rental house?

Answer rating: 100% (QA)

1 a Computation of ordinary gain or loss of Sally for the year 2021 Particulars Gain or loss 12... View the full answer