Problem $14-59($LO$.2,4,5,14)$

Bridgette is known as the "doll lady." She started collecting dolls as a child, always received one or more dolls as gifts on her birthday, never sold any dolls, and eventually owned $600$ dolls. She is retiring and moving to a small apartment and has decided to sell her collection. She lists the dolls on an internet auction site and, to her great surprise, receives an offer from another doll collector of $$45,000$ for the entire collection. Bridgette sells the entire collection, except for five dolls she purchased during the last year. She had owned all of the dolls sold for more than a year.

Indicate whether the following are "Yes, a tax issue" or "Not a tax issue" that Bridgette should consider in deciding how to report the sale.

a$.$ Whether the dolls are considered a capital asset. $$

b$.$ The tax basis for the dolls.

c$.$ The holding period for the dolls. $$

d$.$ Whether the collector will resell the dolls. $$

e$.$ Whether the dolls are collectibles.