If rob and lori purchased a home for $250,000 with an additional $4,000 in related purchase costs and then added a swimming pool at a cost of $30,000 and a new air conditioning system at a cost of $5,000, what would their adjusted basis be when they sell the home?

$289,000

Explanation:

The computation of the adjusting basis in case of sale of the home is shown below:

= Purchase value of home + additional purchase cost + cost of swimming pool + new air conditioning system

= $250,000 + $4,000 + $30,000 + $5,000

= $289,000

In case of sale of the home, we consider all the costs which are given in the question as it related to the sale of the home

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a

explanation:

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