C Corporatlons - Trade or Business Property Transactlons
Exam Question 6 of 15
Select the best answer.
On October 1, 2024, a corporation sold machinery for a gain of
$50,000
. The machinery was purchased ten months ago on December 1, 2023 and is considered held short-term. In 2023 and 2024, straight-line depreciation of
$30,000
had been deducted. The corporation will recognize which of the following?
◻
A. Ordinary income of
$6,000
and
§1231
gain of
$44,000
B. Ordinary income of
$30,000
and
§1231
gain of
$20,000
C. Ordinary income of
$50,000
D.
§1231
gain of
$50,000
2, Question Q6
93% Complete