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

question 13

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:

Current Human Needs

The existing requirements or desires essential for the well-being and survival of humans.

Future Generations

Refers to the people who will live in the times to come, especially concerning their environmental, economic, and social inheritance.

Rights

Entitlements or permissions, typically guaranteeing individuals or groups freedom to act or exemption from certain obligations, recognized and enforced by legal systems.

Complex

Consisting of many different and connected parts, displaying a level of difficulty to understand, solve, or produce.