Firm OCS sold business equipment with a $23,000 initial cost basis and $10,015 accumulated tax depreciation. In each of the following cases, compute OCS’s recaptured ordinary income and Section 1231 gain or loss on the sale. Required: a. Amount realized was $10,600. b. Amount realized was $13,600. c. Amount realized was $18,100. d. Amount realized was $26,100. Note: For all requirements, losses should be indicated with a minus sign. Leave no cell blank. Enter "0" for cells that do not have an amount.

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Financial Transaction Analysis

The transaction analysis is done with the help of the accounting equation. The basic accounting equation is alternatively known as the balance sheet equation is based on the double-entry system which says that for each transaction happening in a business, at least two accounts should be affected I.e. both the debit side and the credit side should be equal. The Accounting Equation is