Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Which of the following describes a tax consequence on the disposal of depreciable property? a. If the selling price exceeds the original cost, a recapture
Which of the following describes a tax consequence on the disposal of depreciable property?
a. | If the selling price exceeds the original cost, a recapture would be recognized. | |
b. | If the selling price exceeds the original cost, a capital gain would be recognized. | |
c. | If, at the end of the taxation year, all assets in a class have been disposed of, but a balance remains in the pool, the balance would continue to be deducted as CCA. | |
d. | If, at the end of a fiscal year, the balance of the pool is negative, the balance would be deducted from business income. |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started