Ed owns investment land with an adjusted basis of $35,000. Polly has offered to purchase the land from Ed for $175,000 for use in a real estate development. The amount offered by Polly is $10,000 in excess of what Ed perceives as the fair market value of the land. Ed would like to dispose of the land to Polly but does not want to incur the tax liability that would result. He identifies an office building with a fair market value of $175,000 that he would like to acquire. Polly purchases the office building and then exchanges the office building for Ed's land. Required:
a. Calculate Ed's realized and recognized gain on the exchange and his basis for the office building
b. Calculate Polly's realized and recognized gain on the exchange and her basis in th eland.
c. How do you determine if somethng is a recognized gain or loss?

a. Amount realized      $175,000

Less: Adjusted basis   ($35,000)

Realized gain               $140,000

Recognized gain          $0

Observation: What Ed believe is that the exchange could qualify as section 0131 postponement treatment

b.  Amount realized      $175,000

Less: Adjusted basis   ($175,000)

Realized gain               $0

Recognized gain          $     -

Exchange for the land is $175,000

c. One can determine if it is recognized gain if the figure is positive and if the figure turns negative (i.e -$2,000) then, that is recognized loss.

(i know i'm late but the answer's "things about yourself" because you want to list things you're capable of, why you want to open up the business, the amount of money you're putting into it,etc.) i'm guessing you take online school small business, the answers to the quizzes are all over quizlet. just look up your question and type quizlet after it and it'll pop up.

the answer choices are:

provides online banking

provides automatic payment services

provides home loans by using saving accounts

accept tax return refunds

hopefully someone can answer the question now lol