Lewis brown bought four lots of land for $100,000. on the date of purchase, the lots had the following fair market values: lot #1$25,000lot #2$31,250lot #3$20,625lot #4$48,125what is the basis to lewis of lot #3?

Basis of Lewis of Lot #3 = $16,500

Explanation:

Total of all the lots = $25,000 + $31,250 + $20,625 + $48,125 = $125,000

Since the land is purchased for $100,000

The basis for each dollar = $100,000/$125,000 = $0.8 for each dollar

Thus for Lot #3 basis = $0.8 X $20,625 = $16,500

Note: The basis is calculated so that directly the lot value is not considered as the total cost is only 80% of total lot value.

Basis of Lewis of Lot #3 = $16,500

a progressive tax is a tax that imposes a lower tax rate on low-income earners compared to those with a higher income, making it based on the taxpayer's ability to pay. that means it takes a bigger percentage from high income earners than it does from low income people.

christopher columbus sail the ocean blue 1492