Lily exchanges a building she uses in her rental business for a building owned by Kendall, which Lily will use in her rental business. The adjusted basis of Lily's building is $120,000 and the fair market value is $170,000. Which of the following statements is correct?
A. Lily's recognized gain is $50,000 and her basis for the building she received is $120,000.
B. Lily's recognized gain is $50,000 and her basis for the building she received is $170,000.
C. Lily's recognized gain is $0 and her basis for the building she received is $120,000.
D. Lily's recognized gain is $0 and her basis in the building she received is $170,000.
E. None of the above is correct!

Total marketing effort is a term used to describe the critical decision factors that affect demand: price, advertising, distribution, and product quality. define the variable x to represent total marketing effort. a typical model that is used to predict demand as a function of total marketing effort is based on the power function: d = axb suppose that a is a positive number. different model forms result from varying the constant b. sketch the graphs of this model for b = 0, b = 1, 0< b< 1, b< 0, and b> 1. (we encourage you to use excel to do this.) what does each model tell you about the relationship between demand and marketing effort? what assumptions are implied? are they reasonable? how would you go about selecting the appropriate model?