This Year Jenna Had the Gains and Losses Noted Below

question 64

Multiple Choice

This year Jenna had the gains and losses noted below on property,plant and equipment used in her business.Each asset had been held longer than one year.Jenna has not previously disposed of any business assets. $$\begin{array} { |l | r| } \hline\text { Loss due to insurance reimbursement for fire } & \$ ( 17,000 ) \\\hline \text { Loss due to condemnation } & ( 12,000 ) \\\hline \text { Gain on sale of Sec. } 1231 \text { property } & 21,000 \\\hline\end{array}$$ Jenna will recognize

• A) \[\begin{array} { | r | r | }
• \hline \text { Ordinary gain (loss) } & \text { LTCG(L) } \\
• \hline \$ ( 17,000 ) & \$ 9,000 \\
• \hline
• \end{array}\]
• B) \[\begin{array} { | r | r | }
• \hline \text { Ordinary gain (loss) } & \text { LTCG(L) } \\
• \hline \$ ( 29,000 ) & \$ 21,000 \\
• \hline
• \end{array}\]
• C) \[\begin{array} { | r | r | }
• \hline \text { Ordinary gain (loss) } & \text { LTCG(L) } \\
• \hline \$ ( 8,000 ) & \$ 0 \\
• \hline
• \end{array}\]
• D) \[\begin{array} {| r | r | }
• \hline \text { Ordinary gain (loss) } & \text { LTCG(L) } \\
• \hline \$ ( 12,000 ) & \$ 4,000 \\
• \hline
• \end{array}\]

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Definitions:

Lock Jaws

A mechanism or tool designed to firmly hold or secure an object in place, often used in the context of vises or clamping devices.

Kingpin

A central pivot in the steering mechanism of a vehicle, around which the steerable wheels pivot.

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A device or system used to prevent movement or unauthorized access by securing components in a fixed or immobile position.