question archive T sold land with a basis of $50,000 for $200,000 to X
T sold land with a basis of $50,000 for $200,000 to X
Subject:LawPrice: Bought3
T sold land with a basis of $50,000 for $200,000 to X. X gave T $110,000 note due in 5 years. X also agreed to assume $90,000 debt encumbered by the land that is deemed "qualified indebtedness". How much income does T have in the year of sale?
Select one:
a.none
b.$10,000
c.$30,000
d.$40,000
e.$50,000
f.$90,000
