Real Estate Math
A Nebraska investment property sold for $625,000. The investor's adjusted basis was $410,000. Long-term capital gains tax rate is 20%. The capital gains tax owed is:
A$43,000✓ Correct
B$83,000
C$125,000
D$36,550
Explanation
Gain = $625,000 − $410,000 = $215,000. Capital gains tax = $215,000 × 20% = $43,000. To solve this, multiply the relevant values: $625,000 and $410,000 at 20%.. The correct answer is $43,000.. This is a common calculation on the Nebraska real estate exam.
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