Octet Corporation Placed a Small Storage Building in Service in 2001.Octet's

question 49

Multiple Choice

Octet Corporation placed a small storage building in service in 2001.Octet's original cost for the building is $800,000 and the cost recovery deductions are $300,000.This year the building is sold for $1,100,000.The amount and character of the gain are

• A)ordinary gain of $60,000 and Sec.1231 gain of $540,000.
• B)ordinary gain of $300,000 and Sec.1231 gain of $300,000.
• C)ordinary gain of $600,000.
• D)Sec.1231 gain of $600,000.

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Definitions:

Mean Interarrival Time

The average time between arrivals in a queuing system.

Probabilistic Arrival

A concept where arrivals or occurrences are not deterministic but follow a probability distribution, often used in queuing theory and logistics.

Multiple Queues

Systems or setups where there are several lines or sequences for processing tasks, customers, or data, aimed at enhancing efficiency or service delivery.

Jockeying

The strategic maneuvering or positioning of oneself or one's resources to gain advantage or leverage, often used in competitive contexts.