Which of the Following Properties That Was Sold During January

question 1

Multiple Choice

Which of the following properties that was sold during January 2013 is Section 1231 property for Baylan Toy Manufacturing Corporation?
I.Automobile purchased in 2008.
II.Land used in the business since 2007.
III.Factory building purchased and placed into service in May 2012.
IV.Office building purchased and placed into service in June 2009.

• A)Only statement I is correct.
• B)Statements I, II, and IV are correct.
• C)Statements III and IV are correct.
• D)Statements II and III are correct.
• E)Statements I, II, III, and IV are correct.

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Definitions:

Object Permanence

The understanding that objects continue to exist even when they cannot be seen, heard, or touched.

Conservation

In cognitive development, the understanding that certain properties of objects, such as volume or mass, remain the same despite changes in the forms or arrangements of those objects.

Culture and Society

The collective beliefs, values, norms, and material objects shared by a group of people and passed from one generation to the next, shaping their way of life.

Cognitive Growth

The intellectual development that occurs as we learn, understand, and apply knowledge over time.