Ford's Automobile That He Uses 100% for Business Is Vandalized

question 62

Multiple Choice

Ford's automobile that he uses 100% for business is vandalized. The adjusted basis before the vandalism is $3,000. The fair market value of the car before the vandalism is $7,000, and the fair market value of the property after the vandalism is $2,000. Ford's insurance does not cover vandalism. What is Ford's loss deduction for the year?

• A)$- 0 -
• B)$1,000
• C)$2,000
• D)$3,000
• E)$5,000

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Definitions:

Epidermis

The epidermis is the outermost layer of the skin, providing a protective barrier against environmental damages, such as pathogens and UV radiation.

Dendritic Cells

Immune cells that process antigen material and present it on the surface to other cells of the immune system.

Desmosomes

Specialized structures in cell membranes that provide adhesion and mechanical linkage between neighboring cells.

Dense Irregular Connective Tissue

Dense irregular connective tissue is a type of connective tissue that has fibers (mostly collagen) that are arranged irregularly and densely to provide strength and resistance to stretching in multiple directions.