Question
Problem 8-18 Section 1231 Gains and Losses, Depreciation Recapture (LO 8.7, 8.8) William sold Section 1245 property for $25,000 in 2019. The property cost $38,500
Problem 8-18 Section 1231 Gains and Losses, Depreciation Recapture (LO 8.7, 8.8)
William sold Section 1245 property for $25,000 in 2019. The property cost $38,500 when it was purchased 5 years ago. The depreciation claimed on the property was $19,200.
If an amount is zero, enter "0".
a. Calculate the adjusted basis of the property. $
b. Calculate the recomputed basis of the property. $
c. Calculate the amount of ordinary income under Section 1245. $
d. Calculate the Section 1231 gain. $
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Cost Accounting
Authors: Mark Lee Inman
2nd Edition
0434908320, 978-0434908325
