Sol purchased land as an investment on February 12,2016 for $85,000.On January 31,2017,Sol sold the land for $90,000 cash.What is the nature of the gain or loss?7

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Quizplus · Accepted Answer

The land was held for less than a year (from February 12, 2016, to January 31, 2017), so the gain is considered short-term. Sol sold the land for more than the purchase price, resulting in a short-term capital gain.

Sol Purchased Land as an Investment on February 12,2016 for $85,000.On