sheil return using BlockWorks, then answer 1 b questions relating to this relum. Unless otherwise specified in the question, this test is written to, and based upon. 2022 tax taw. While the test is open resource, remember that it reflects your experience and existing tax knowiedge. Therefore. it is not advisable that you enter test questions into any applications or websites: Save Your Work! Successful completion of this test requires a passing score of 80% within three attempls. If you need to take a break or conduct research while taking the test, SAVE your work in Block Acaderny. If you fail to do so. you wim lose your work and have to start over. Saving your work before completing the case study return in BlockWorks is recommended If you save your work and return later, it will not be considered a separate attempt to take the test. However, if you must start over because you were timed out after failing to save your work, this will count as a separate attempt: Question 1 of 75. Charlie's vacation cabin was secured by a nonrecourse mortgage. This year, the bank foreclosed on the property, At the time of the foreclosure: the principal balance of the loan was $200,000; the cabin's fair market value was $150,000; and Charlie's adjusted basis was $220,000. Charlie received no money or other property as part of the transaction. Which of the following correctly describes the income, gain, or loss that Charlie realized as a result of this foreclosure? Ordinary income of $70,000 and capital loss of $50,000 Ordinary income of $50,000 and capital loss of $70,000 Capital gain of $50,000. Capital loss of $20,000. Mark for follow up