Which of the Following Situations Would Not Be Permitted to Defer

question 5

Multiple Choice

Which of the following situations would not be permitted to defer the recognition of any recapture that might arise from the disposition of the asset?

• A) A half-ton truck that belonged to a construction company was stolen in 20X0. Insurance proceeds were received which generated recapture. The truck was replaced in 20X1.
• B) A building that was used for income earning purposes was destroyed in a fire. Insurance proceeds were received which generated recapture. A new building was built one and a half years later.
• C) A customized half-ton truck that belonged to a construction company was sold in 20X0. The proceeds from the sale generated recapture. A new customized truck was purchased fourteen months later in order to carry out the duties of a large contract
• Awarded to the company.
• D) A building that was used for income earning purposes was sold in December 20X0. The proceeds from the sale generated recapture. A new building was purchased in April 20X1. The company's fiscal year-end is December 31st.

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Definitions:

Traditional Focus Groups

A qualitative research method where a small group of people are interviewed about their perceptions, opinions, beliefs, and attitudes towards a product, service, concept, advertisement, or idea, typically conducted in person.

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An area of computer science that is concerned with the intersection of social behavior and computational systems, involving the design and use of software and technology to support or enhance social interactions.

Customer Relationships

The interactions and engagements a business has with its customers, focusing on improving satisfaction, loyalty, and long-term value.

Social Computing

The area of computational systems that enable and support social behavior and interactions among users.