Which of the following is not considered listed property for purposes of determining the taxpayer's depreciation deduction?

a. A computer used exclusively by the taxpayer in managing his investment portfolio.

b. An automobile used 40 percent by an employee in providing services to his employer.

c. A computer used by a bank executive, on the bank premises, in performing services as an employee.

d. A computer used by a taxpayer 40 percent in managing her investment portfolio and 20 percent in her business as an accountant.

e. None of these choices are correct

Pekoe sold stock to Rose for $13,000, its fair market value. The stock cost Pekoe $16,000 5 years ago. Also, Pekoe sold Earl (an unrelated party) stock for $6,500 that cost $7,500 3 years ago. Rose and Pekoe are brother and sister. What is Pekoe's recognized loss?

a. $6,500

b. $4,000

c. $3,000

d. $1,000

e. $0

B Corporation, an accrual basis taxpayer, is owned 75 percent by Bonnie, a cash basis taxpayer. On December 31, 20X1, the corporation accrues interest of $4,000 on a loan from Bonnie and also accrues a $15,000 bonus to Bonnie. The bonus is paid to Bonnie on March 1, 20X2; the interest is not paid until 20X3. How much can B Corporation deduct on its 20X1 tax return?

a. $0

b. $4,000

c. $15,000

d. $19,000

e. $12,000

B Corporation, an accrual basis taxpayer, is owned 75 percent by Bonnie, a cash basis taxpayer. On December 31, 20X1, the corporation accrues interest of $4,000 on a loan from Bonnie and also accrues a $15,000 bonus to Bonnie. The bonus is paid to Bonnie on March 1, 20X2; the interest is not paid until 20X3. How much can B Corporation deduct on its20X2 tax return?

a. $0

b. $4,000

c. $15,000

d. $19,000

e. $12,000