1. Bernadero Corporation sells a construction crane with an adjusted basis of $32,000 for $37,000. The corporation paid $50,000 for the crane.
2. Harry sells the automobile he has used in his job as a salesman for $2,000. It cost $15,000 four years earlier. Harry used the automobile 70% of the time in his job and 30% of the time for personal purposes. At the date of sale, Harry had taken $10,000 in depreciation on the car.
3. Tawana purchased real property in 2008 at a cost of $200,000. In 2010, she is experiencing cash-flow problems and sells the property for $220,000. The adjusted basis of the property is $185,000.