Arianna's personal residence has an adjusted basis of $230,000 and a fair market value of $210,000. Arianna converts the personal residence to rental property. What is Arianna's gain basis?

Arianna's gain basis $230,000

Explanation:

given data

adjusted basis = $230,000

fair market value = $210,000

solution

As here Arianna's gain basis will be as adjusted basis before the conversion of property when it is use personal to income

because here it is standardize

when Arianna convert his personal residence in to the rental property

so here Arianna's gain basis $230,000