Mr. Brown sold his home for $160,000: $10,000 was allocated for closing costs, leaving him with a net of $150,000.7 years prior to the sales of his home Mr. Brown purchased a home for $100,000, thereby realizing a profit of $50,000.Mr. Brown had lived in the home for seven years.how much of the capital gain is taxable in the year of the sale?

A. $15,000
B. $5000
C. $1000
D. Zero

Answer: D. Zero

Business

You might also like to view...

When Joe screens job applicants to ensure that he hires the most qualified candidate, he is performing the human resource function known as the ______ process.

Fill in the blank(s) with the appropriate word(s).

Business

Cash receipts from interest and dividend income are classified as

A. operating expenses B. financing activities C. investing activities D. either financing or investing activities

Business