In 2010 bridget sold land to her son caleb for 150000 cash, Ask an Expert

Accounting

In 2010, Bridget sold land to her son Caleb for $150,000 cash and an installment note for $600,000. Bridget's adjusted basis was $550,000. In 2011, after paying $10,000 interest but nothing on the principal, Caleb sold the land for $850,000 cash. As a result of the second disposition, what gain must Bridget recognize in 2011?

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M941814

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