Prater Inc. enters into an exchange in which it gives up its warehouse on 10 acres of land and receives a tract of land. A summary of the exchange is as follows: Transferred FMV Original Basis Accumulated Depreciation Warehouse $ 452,500 $ 245,000 $45,500 Land 99,000 99,000 Mortgage on warehouse 48,750 Cash 20,500 20,500 Assets Received FMV Land $523,250 What is Prater's realized and recognized gain on the exchange and its basis in the assets it received in the exchange? Adjusted basis in new property

Prater Inc. enters into an exchange in which it gives up its warehouse on 10 acres of land and receives a tract of land. A summary of the exchange is as follows: Transferred FMV Original Basis...

Prater Inc. enters into an exchange in which it gives up its warehouse on 10 acres of land and receives a tract of land. A summary of the exchange is as follows:

Transferred	FMV	Original Basis	Accumulated Depreciation
Warehouse	$	452,500	$	245,000	$45,500
Land	99,000	99,000
Mortgage on warehouse	48,750
Cash	20,500	20,500

Assets Received	FMV
Land	$523,250

What is Prater's realized and recognized gain on the exchange and its basis in the assets it received in the exchange?




Adjusted basis in new property

Nov 11, 2021

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Prater Inc. enters into an exchange in which it gives up its warehouse on 10 acres of land and receives a tract of land. A summary of the exchange is as follows: Transferred FMV Original Basis...

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