o. Dirksen depreciated the machinery using MACRS (seven-year recovery period). What are the amount and character of the gain or oss Dirksen will recognize on the sale if the machine is sold on January 15 of year 1 instead? Note: Round other intermediate computations to the nearest whole dollar amount. X Answer is complete but not entirely correct. Description Total Gain or (Loss) Recognized Character of Recognized Gain or (Loss): Ordinary Gain or (Loss) §1231 gain or (loss) $ $ $ Amount 4,119 X 4,119 x 0✔
o. Dirksen depreciated the machinery using MACRS (seven-year recovery period). What are the amount and character of the gain or oss Dirksen will recognize on the sale if the machine is sold on January 15 of year 1 instead? Note: Round other intermediate computations to the nearest whole dollar amount. X Answer is complete but not entirely correct. Description Total Gain or (Loss) Recognized Character of Recognized Gain or (Loss): Ordinary Gain or (Loss) §1231 gain or (loss) $ $ $ Amount 4,119 X 4,119 x 0✔
Chapter8: Depreciation, Cost Recovery, Amortization, And Depletion
Section: Chapter Questions
Problem 47P
Related questions
Question
![On August 1 of year 0, Dirksen purchased a machine for $20,000 to use in its business. On December 4 of year 0, Dirksen
sold the machine for $18,000. Use MACRS Table.
Note: Loss amounts should be indicated by a minus sign. Do not round percentages used for calculations. Leave no
answers blank. Enter zero if applicable.
Problem 11-42 Part-b (Static)
b. Dirksen depreciated the machinery using MACRS (seven-year recovery period). What are the amount and character of the gain or
oss Dirksen will recognize on the sale if the machine is sold on January 15 of year 1 instead?
Note: Round other intermediate computations to the nearest whole dollar amount.
X Answer is complete but not entirely correct.
Description
Total Gain or (Loss) Recognized
Character of Recognized Gain or (Loss):
Ordinary Gain or (Loss)
§1231 gain or (loss)
$
$
Amount
4,119 X
4,119 X
0](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F52476ee9-c360-4937-8f5a-8576cacac103%2Ff4fe8af7-0a28-4867-a8e8-7b389caee1dc%2F0dux6k_processed.png&w=3840&q=75)
Transcribed Image Text:On August 1 of year 0, Dirksen purchased a machine for $20,000 to use in its business. On December 4 of year 0, Dirksen
sold the machine for $18,000. Use MACRS Table.
Note: Loss amounts should be indicated by a minus sign. Do not round percentages used for calculations. Leave no
answers blank. Enter zero if applicable.
Problem 11-42 Part-b (Static)
b. Dirksen depreciated the machinery using MACRS (seven-year recovery period). What are the amount and character of the gain or
oss Dirksen will recognize on the sale if the machine is sold on January 15 of year 1 instead?
Note: Round other intermediate computations to the nearest whole dollar amount.
X Answer is complete but not entirely correct.
Description
Total Gain or (Loss) Recognized
Character of Recognized Gain or (Loss):
Ordinary Gain or (Loss)
§1231 gain or (loss)
$
$
Amount
4,119 X
4,119 X
0
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