Juanita,who Is Single,is in an Automobile Accident in 2013 and Her

question 72

Multiple Choice

Juanita,who is single,is in an automobile accident in 2013 and her car sustains $6,200 in damages.Because both drivers received tickets in the accident,Juanita does not expect to recover any of the loss from her insurance company.Juanita's 2013 AGI is $31,000,and she deducts a $3,000 loss on her 2013 tax return.Her other itemized deductions in 2013 exceed $12,000.In 2014,Juanita's insurance company reimburses her $2,800.Juanita's 2014 AGI is $28,000.As a result,Juanita must

• A)amend 2013 to show a $200 loss.
• B)do nothing and simply keep the $2,800.
• C)do nothing to the 2013 return but report $2,800 of income on her 2014 return.
• D)amend the 2013 return to show $0 loss and file her 2014 return to show a $200 loss.

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Definitions:

Production Efficiency

The optimization of production processes to produce goods or services in the most cost-effective and time-efficient manner.

Information-Processing Capability

Information-Processing Capability refers to the efficiency and effectiveness with which an organization can process, store, and retrieve information to make decisions, solve problems, and adapt to new situations.

Adaptive Organisations

Organizations that are able to change and evolve in response to changes in the market, technology, or external environment.

Growth Strategies

Growth strategies involve expansion of the organisation’s current operations.