In the case of a bargain purchase,the adjusted basis of an asset can exceed the cost of the asset to the purchaser.

Name: In the case of a bargain purchase,the adjusted basis of an asset can exceed the cost of the asset to the purchaser.
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In the case of a bargain purchase, the fair value of the asset acquired exceeds the consideration paid for it. As a result, the adjusted basis of the asset can be higher than the cost paid by the purchaser.

In the Case of a Bargain Purchase,the Adjusted Basis of an Asset