The sale of a depreciable asset resulting in a gain indicates that the proceeds from the sale were a. Less than current market value b. Greater than cost c. Greater than book value d. Less than book value

The sale of a depreciable asset resulting in a gain indicates that the proceeds from the sale were a. Less than current market value b. Greater than cost c. Greater than book value d. Less than book value

Individual Income Taxes

43rd Edition

ISBN:9780357109731

Author:Hoffman

Publisher:Hoffman

Chapter17: Property Transactions: §1231 And Recapture Provisions

Section: Chapter Questions

Problem 2DQ

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Question

The sale of a depreciable asset resulting in a gain indicates that the proceeds from the sale were

a. Less than current market value

b. Greater than cost

c. Greater than book value

d. Less than book value

Definition Video Definition Accounting method wherein the cost of a tangible asset is spread over the asset's useful life. Depreciation usually denotes how much of the asset's value has been used up and is usually considered an operating expense. Depreciation occurs through normal wear and tear, obsolescence, accidents, etc. Video

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