30)c) because the accounts receivable where acquired in the ordinary course of a trade or business d) it has business incentivee) building is a depreciable property f) cars are not propertyh) 31)In the first one Lois is selling a personal item, where she has all the rights and ownership, where as in the 2nd one she is selling a book owned by somebody else, so the book will be considered a capital asset and the sale will meet longterm holding period rules32)Byron will have a long term capital gain of $500,000; and the $50 per unit will also receive long term capital gain treatment regardless of how long the paten was held33)The $1,000 payments and the percentage of the monthly profits will be ordinary income to Cathy Crafts.Dan may deduct the percentage payments as ordinary business expenses. 34)November 17 2010 purchase40,000July 21 2011 exchange42,000The holding period for the truck begins on November 18 2010, and its basis 40,000. He will have a long term capital gain of 2,00036)Feb 23 2010 purchase10,000nov 15 2010 gift12,000april 19 2011 sale13,000
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