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George owned a restaurant. He purchased the building for 200,000, and had taken 150,000 of depreciation...

George owned a restaurant. He purchased the building for 200,000, and had taken 150,000 of depreciation on the building. It was destroyed by a fire on 04/17/18. it was insured for 300,000 and the insurance Company paid George 280,000 on 12/06/18. The fire was considered a natural disaster area.

If George wants to avoid recognition of the gain, what is the minimum amount he must pay for a new restaurant, and if he purchases a new restaurant for 250,000 on 04/03/19 what is his recognized gain?

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jeff jeffy answered 1 year ago
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