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Recognized gain or loss on exchange of a rental house

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Manuel exchanges a rental house at the beach with an adjusted basis of $150,000 and a fair market value of $125,000 for a rental house at the mountains with a fair market value of $100,000 and cash of $25,000. What is the recognized gain or loss?

a. $0.

b. $100,000.

c. $25,000.

d. ($25,000).

e. None of the above.

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