Reference no: EM132523484

Question - Please answer the following question: During the current year Michelle sold for $40,000 an unimproved tract of land, in which she had a basis of $50,000. Michelle had been leasing the land for several years to a lobster fisher who used it to assemble and repair lobster traps. Also during the current year another unimproved tract of land Michelle held for speculative purposes and in which she had a basis of $20,000 and a holding period of more than one year was condemned by the state for a road project, and Michelle received $26,000. In addition, the bank in which Michelle had a safe deposit box was burglarized and numismatic coins which had cost her $3,000 and which she had held for speculative investment for several years were taken. Michelle received in the current year $12,000 of insurance proceeds for the theft from the safe deposit box. What is the amount and character of Michelle's gains and losses arising from these events?