Elizabeths factory is completely destroyed in a fire. Her basis in the factory was $3...
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Accounting
Elizabeths factory is completely destroyed in a fire. Her basis in the factory was $3 Million. Insurance paid her $5 Million. By the end of the year, she had purchased a replacement factory for $4 Million. What is the least amount of gain that Elizabeth can recognize as part of this transaction?
$1 million
$2 million
$500,000
$0
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