Question: Jill bought a house for $ 8 0 0 , 0 0 0 and sold it for $ 1 million after 5 years. She made

Jill bought a house for $800,000 and sold it for $1 million after 5 years. She made no improvement on the house. When she was selling, she paid various fees and commissions; the total amount of such costs was 8% of the selling price. Her average capital gain tax rate was 12% and her marginal capital gain tax rate was 15%. She was single. Her after-tax income increased by $ __________if she took home sale tax exemption.

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