In the Current Year,Marcus Reports the Following Casualty Gains and Losses

question 15

Multiple Choice

In the current year,Marcus reports the following casualty gains and losses on personal-use property.Assets X and Y are destroyed in the first casualty while Z is destroyed in a second casualty. As a result of these losses and insurance recoveries,Marcus must report

• A)a net gain of $3,700.
• B)a long-term gain of $4,900 on asset X; a short-term capital loss of $900 on asset Y; and a short-term capital loss of $200 on asset Z.
• C)a long-term capital gain of $5,000 on asset X; a short-term capital loss of $900 on asset Y; and a short-term capital loss of $200 on asset Z.
• D)a long-term capital gain of $5,000 on asset X; a short-term capital loss of $900 on asset Y; and a short-term capital loss of $300 on asset Z.

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Definitions:

Fight or Flight

A physiological response to perceived threat or harm, preparing the body to either confront or avoid danger.

Positive Subjective Experiences

Personal experiences that evoke good feelings, satisfaction, or pleasure.

Sensual Pleasures

Enjoyments derived from gratifying sensory experiences, often related to touch, taste, smell, sound, and sight.

Present

The current moment or period of time, distinct from the past and future.