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    Calculate amount and type of gain for sales of antique cars

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    During the year, Eric had the four property transactions summarized below. Eric is a collector of antique automobiles and occasionally sells one to get funds to buy another. What are the amount and nature of the gain or loss from each of these transactions?

    Property Date Acquired Date Sold Adjusted Basis Sale Price
    Antique 06/18/98 05/23/07 57,000 45,000
    Truck

    Blue 12/23/00 11/22/04 22,000 33,000
    Growth Fund
    100 shares

    Orange 02/12/01 04/11/07 34,000 42,000
    bonds

    Green 02/14/07 11/23/07 13,000 11,000
    Stock
    100 shares

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    https://brainmass.com/business/accounting/calculate-amount-type-gain-sales-antique-cars-209091

    Solution Preview

    Antique
    Sale: 57000 - 45000 = 12000
    Long term gain
    Collectible rate of 28%

    Blue
    Sale: 22000 - 33000 = ...

    Solution Summary

    The solution calculates the gain for each stating the type of gain and the tax rate which will apply.

    $2.19

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