Abby sold her unincorporated business which consisted of equipment and goodwill.The equipment had an original cost of $200,000 and Abby had claimed $120,000 in depreciation (adjusted basis = $80,000).Abby had no basis in the goodwill.The sales price for the business was $250,000,with $150,000 for the equipment and $100,000 for the goodwill.The buyer agreed to pay $120,000 on June 30,2015,and $130,000 (plus interest at the Federal rate) in two years.Abby's gain to be reported in 2015 (exclusive of interest) is:

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The Answer of Abby sold her unincorporated business which consisted of equipment and goodwill.The equipment had an original cost of $200,000 and Abby had claimed $120,000 in depreciation (adjusted basis = $80,000).Abby had no basis in the goodwill.The sales price for the business was $250,000,with $150,000 for the equipment and $100,000 for the goodwill.The buyer agreed to pay $120,000 on June 30,2015,and $130,000 (plus interest at the Federal rate) in two years.Abby's gain to be reported in 2015 (exclusive of interest) is:

Abby Sold Her Unincorporated Business Which Consisted of Equipment and Goodwill.The