13 0 Sophie owned a small business and had a rental property. At the time of her death, the rental property was valued at $350,000. She originally purchased the property 25 years ago for $100,000. On her final tax return, Sophie was in the 40% marginal tax bracket. The rental property was not her principal residence. What is the amount of the capital gain that must be reported on Sophie's final tax return? O a) $250,000 Ob) $125,000 O c) $0 O d) $100,000
13 0 Sophie owned a small business and had a rental property. At the time of her death, the rental property was valued at $350,000. She originally purchased the property 25 years ago for $100,000. On her final tax return, Sophie was in the 40% marginal tax bracket. The rental property was not her principal residence. What is the amount of the capital gain that must be reported on Sophie's final tax return? O a) $250,000 Ob) $125,000 O c) $0 O d) $100,000
Chapter10: Deductions And Losses: Certain Itemized Deductions
Section: Chapter Questions
Problem 2BCRQ
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Transcribed Image Text:13
O
Sophie owned a small business and had a rental property. At the time of her death, the rental property was
valued at $350,000. She originally purchased the property 25 years ago for $100,000. On her final tax
return, Sophie was in the 40% marginal tax bracket. The rental property was not her principal residence.
What is the amount of the capital gain that must be reported on Sophie's final tax return?
O a) $250,000
Ob) $125,000
O c) $0
d) $100,000
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