Larry buys a building in 2005 for 14 millionnbsp he pays


1. _______ of ________ is used to report gains from the sale of depreciable business equipment sold at a gain and held more than one year.

2. Larry buys a building in 2005 for $14 million.  He pays cash of $1 million and takes out a mortgage for $13 million.  From 2005-2012, he claims $8 million of depreciation on the building.  In 2013, when the building is worth $5 million, Larry is in default on the mortgage payments and the building is foreclosed on by the bank.  What is Larry's gain or loss in 2013?

3. In a deferred like exchange situation, who is a person that facilitates the transaction between the parties that would like to exchange properties?   

 

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Taxation: Larry buys a building in 2005 for 14 millionnbsp he pays
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