Nancy Gives Her Niece a Crane to Use in Her

question 158

Multiple Choice

Nancy gives her niece a crane to use in her business with a fair market value of $61,000 and a basis in Nancy's hands of $80,000. No gift tax was paid. What is the niece's basis for depreciation (cost recovery) ?

• A) $0
• B) $19,000
• C) $61,000
• D) $80,000
• E) None of the above

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Definitions:

Marketing Plan

A comprehensive document or blueprint that outlines a business's advertising and marketing efforts for a specific period.

Stakeholders

Individuals, groups, or organizations that have an interest or stake in the outcome of a project, initiative, or company's operations, including employees, customers, investors, and suppliers.

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A business approach focusing on the promotion and selling of products, often prioritizing sales volume over customer satisfaction or product quality.