Oscar owned land that he leased to a garbage company; the land's basis was $700,000. The garbage company used the land as a center of operations for its fleet of garbage trucks, both for parking the trucks when they were not in use and for repairing and maintaining them. The government condemned the land to make way for a road. Oscar received $2,500,000 from the government for the land. One year later, Oscar purchased another parcel of land across town for $2,000,000 and leased it to a recycling company for use as a sorting center. How much of a gain must Oscar recognize as a result of these transactions?  

Answer rating: 100% (QA)

Heres how to determine Oscars gain Condemnation of Land Gain on condemned land 2500000 received 7000... View the full answer