Which One of the Following Is True About Section 1231

question 18

Multiple Choice

Which one of the following is true about Section 1231 assets?

• A)Section 1231 assets are treated like capital assets when they produce losses on sale.
• B)Business property held 1 year or less is considered a Section 1231 asset.
• C)Section 1231 assets include company stock.
• D)Section 1231 asset losses must be netted against 1231 asset gains before tax treatment is determined.
• E)All of the above are false.

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Definitions:

Human Capital

The skills, knowledge, and experience possessed by an individual or population, viewed in terms of their value or cost to an organization or society.

Apprentice Welder

An individual in the early stage of their career learning the craft of welding under the supervision of experienced welders.

On-the-Job Training

Training that occurs within the workplace while the employee is performing their actual job duties, often under the supervision of a more experienced colleague.

Human Capital

The combined abilities, expertise, and non-physical assets of people that contribute to creating financial worth.