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Required information [The following information applies to the questions displayed below] In year 0, Longworth Partnership purchased a machine for $64,750 to use in its business. In year 3, Longworth sold the machine for $43,200. Between the date of the purchase and the date of the sale, Longworth depreciated the machine by $23.900 Note: Loss amounts should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable. c. What are the amount and character of the gain or loss Longworth will recognize on the sale if the sale proceeds are decreased to $16,500? Description Total Gain or (Loss) Recognized Character of Recognized Gain or (Loss) Ordinary Gain or (Loss) $1231 gain or (loss) Amount

Required information [The following information applies to the questions displayed below] In year 0, Longworth Partnership purchased a machine for $64,750 to use in its business. In year 3, Longworth sold the machine for $43,200. Between the date of the purchase and the date of the sale, Longworth depreciated the machine by $23.900 Note: Loss amounts should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable. c. What are the amount and character of the gain or loss Longworth will recognize on the sale if the sale proceeds are decreased to $16,500? Description Total Gain or (Loss) Recognized Character of Recognized Gain or (Loss) Ordinary Gain or (Loss) $1231 gain or (loss) Amount

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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please need help with part c Do not Give solution in image format
13 ces Required information [The following information applies to the questions displayed below] In year 0. Longworth Partnership purchased a machine for $64,750 to use in its business. In year 3, Longworth sold the machine for $43,200. Between the date of the purchase and the date of the sale, Longworth depreciated the machine by $23,900 Note: Loss amounts should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable. c. What are the amount and character of the gain or loss Longworth will recognize on the sale if the sale proceeds are decreased to $16,500? Description Total Gain or (Loss) Recognized Character of Recognized Gain or (Loss) Ordinary Gain or (Loss $1231 gain or (loss) Amount
Transcribed Image Text:13 ces Required information [The following information applies to the questions displayed below] In year 0. Longworth Partnership purchased a machine for $64,750 to use in its business. In year 3, Longworth sold the machine for $43,200. Between the date of the purchase and the date of the sale, Longworth depreciated the machine by $23,900 Note: Loss amounts should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable. c. What are the amount and character of the gain or loss Longworth will recognize on the sale if the sale proceeds are decreased to $16,500? Description Total Gain or (Loss) Recognized Character of Recognized Gain or (Loss) Ordinary Gain or (Loss $1231 gain or (loss) Amount
Required information [The following information applies to the questions displayed below] In year 0, Longworth Partnership purchased a machine for $64,750 to use in its business. In year 3, Longworth sold the machine for $43,200. Between the date of the purchase and the date of the sale, Longworth depreciated the machine by $23.900 Note: Loss amounts should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable. a. What are the amount and character of the gain or loss Longworth will recognize on the sale? Answer is complete and correct. Description Total Gain or (Loss) Recognized Character of Recognized Gain or (Loss) Ordinary Gain or (Loss) $1231 gain or (loss) Show Transcribed Text S $ 12 15 Amount Description Total Gain or (Loss) Recognized Character of Recognized Gain or (Loss) Ordinary Gain or (Loss) $1231 gain or (loss) 2.350 2,350 DO Required information [The following information applies to the questions displayed below] In year 0, Longworth Partnership purchased a machine for $64.750 to use in its business. In year 3, Longworth sold the machine for $43,200. Between the date of the purchase and the date of the sale, Longworth depreciated the machine by $23,900 Note: Loss amounts should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable. b. What are the amount and character of the gain or loss Longworth will recognize on the sale if the sale proceeds are increased $67,500? Answer is complete and correct. Amount $ 26,650 $ 23,900 $ 2,750->
Transcribed Image Text:Required information [The following information applies to the questions displayed below] In year 0, Longworth Partnership purchased a machine for $64,750 to use in its business. In year 3, Longworth sold the machine for $43,200. Between the date of the purchase and the date of the sale, Longworth depreciated the machine by $23.900 Note: Loss amounts should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable. a. What are the amount and character of the gain or loss Longworth will recognize on the sale? Answer is complete and correct. Description Total Gain or (Loss) Recognized Character of Recognized Gain or (Loss) Ordinary Gain or (Loss) $1231 gain or (loss) Show Transcribed Text S $ 12 15 Amount Description Total Gain or (Loss) Recognized Character of Recognized Gain or (Loss) Ordinary Gain or (Loss) $1231 gain or (loss) 2.350 2,350 DO Required information [The following information applies to the questions displayed below] In year 0, Longworth Partnership purchased a machine for $64.750 to use in its business. In year 3, Longworth sold the machine for $43,200. Between the date of the purchase and the date of the sale, Longworth depreciated the machine by $23,900 Note: Loss amounts should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable. b. What are the amount and character of the gain or loss Longworth will recognize on the sale if the sale proceeds are increased $67,500? Answer is complete and correct. Amount $ 26,650 $ 23,900 $ 2,750->
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Section 179 Deduction and Modified Accelerated Cost Recovery System (MACRS) Depreciation
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