Exercise $13-28($Algorithmic$)($LO$.3)$

Luciana, a nonshareholder, purchases a condominium from her employer for $\backslash (\backslash$$ $105,500\backslash ).$ The fair market value of the condominium is $\backslash (\backslash$$ $147,700\backslash ).$ What is Luciana's basis in the condominium and the amount of any income as a result of this purchase?

Luciana's basis in the condominium is $\backslash (\backslash$$ $\backslash )$ and she reports $\backslash (\backslash$$ $\backslash )$