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Exercise 17-29 (Algorithmic) (LO. 5) In a 1031 like-kind exchange, Rafael exchanges a business...

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Accounting

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Exercise 17-29 (Algorithmic) (LO. 5) In a 1031 like-kind exchange, Rafael exchanges a business building that originally cost $220,800. On the date of the exchange, the building given up has an adjusted basis of $88,320 and a fair market value of $121,440. Rafael pays $18,216 and receives a building with a fair market value of $139,656. Compute the following. If an amount is zero, enter "0". a. Rafael's realized gain on the exchange is $ b. Rafael's recognized 1031 gain is $ c. Rafael's unrecaptured 1250 gain of $ is Problem 17-34 (LO. 2) Keshara has the following net 1231 results for each of the years shown: Tax Year Net 1231 Loss Net 1231 Gain 2016 $18,000 2017 33,000 2018 42,000 2019 $41,000 2020 30,000 2021 41,000 What would be the nature of the net gains in 2020 and 2021? If an amount is zero, enter "0". Amount Total Net 1231 Gain Treated as Ordinary Amount Treated as Long-Term Capital Gain Income 2020 30,000 2021 41,000

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