Recognized gain and basis for land exchanged by Eunice Jean
Rolla, Missouri, for land to be held for investment located near Madrid, Spain.
Her basis for the land given up is $250,000 and the fair market value of the
land received is $350,000. Eunice Jean also receives cash of $15,000.
a. What is
Eunice Jean’s recognized gain?
b. What is
her basis for the land received?





