How much gain will zeke recognize in the current year


Question Zeke's Zipline Adventures sold 6 acres of land used in the business. The sales price was $12,000 and the adjusted basis of the land was $9,000. Zeke will receive a down payment of $4,000 at the time of sale and the remaining $8,000 early next year. How much gain will Zeke recognize in the current year? Multiple choice question. $4,000 $3,000 $1,333 $1,000

 

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Accounting Basics: How much gain will zeke recognize in the current year
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