Sarah purchased a diamond bracelet for $3,000 while vacationing in Hong Kong during 2005.Sarah gives the bracelet to her daughter Amy when she graduates from college in 2013.The bracelet is appraised at $8,000 on that date.In October 2013,Amy sells the bracelet for $9,000.What is the amount of gain Amy should recognize on the sale?
A) No gain or (loss) is recognized
B) $1,000
C) $4,000
D) $5,000
E) $6,000
Correct Answer:
Verified
Q41: Hilliard receives a gift of stock from
Q42: Hector receives a gift of rare books
Q48: Sanford gives Mitchell 100 shares of stock
Q50: Valerie receives a painting as a gift
Q53: Terry gives Brenda 1,000 shares of stock
Q62: If the executor of a decedent's estate
Q67: Ludwig died on April 5,2013.As part of
Q72: Lydia purchased a sapphire bracelet for $3,000
Q73: Mary inherits an interest in Laser Partnership
Q75: On July 3,2013,Cynthia receives a gift of
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents