Jordan Paid $30,000 for Equipment Two Years Ago and Has

question 81

Multiple Choice

Jordan paid $30,000 for equipment two years ago and has claimed total depreciation deductions of $15,600 for the two years.The cost of repairs during the same time period was $2,000 while a major overhaul which extended the life of the equipment cost $7,000.What is Jordan's adjusted basis in the equipment at the end of the two-year period?

• A)$14,400
• B)$16,400
• C)$21,400
• D)$30,000

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Rights or privileges granted by a government or authority to an individual or company, often relating to the use of land or natural resources.

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