Mia owns a warehouse that has a cost basis of $232,000. The city condemns the...
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Mia owns a warehouse that has a cost basis of $232,000. The city condemns the warehouse to make room for a new fire station. It pays Mia $1,160,000 for the property, its agreed-to fair market value. Shortly after the condemnation, Mia purchases another warehouse as a replacement. If amount is zero, enter "0". a. What is her recognized gain if the new property cost is $812,000? $fill in the blank 398944fab01efff_1 b. What is her recognized gain if the new property cost is $1,276,000? $fill in the blank 99efd3ff7fedfa1_1 c. What is her recognized gain if the new property cost is $232,000? $fill in the blank 957e05ff8fadfae_1 d. What, if any, is the justification for deferring the recognition of gain on the involuntary conversion? The involuntary conversion provision is justified under the and the notion that the taxpayer's economic position changed.
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