City Auto Parts Recently Traded in Store Fixtures

question 197

True/False

City Auto Parts recently traded in store fixtures. The exchange had commercial substance. The old fixtures had a cost of $48,000 and accumulated depreciation of $14,000. City paid $101,000 for the new store fixtures. These new fixtures had a market value of $117,000. There is a loss of $18,000 on this exchange.

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Regulation

The establishment of rules by government or regulatory bodies intended to influence economic activity and protect consumers and investors.

Social Regulation

Government-imposed regulations aimed at improving society's conditions, such as health, safety, and environmental protection.

Food and Drug Administration

A federal agency of the United States responsible for protecting and promoting public health through the control and supervision of food safety, tobacco products, dietary supplements, prescription and over-the-counter pharmaceutical drugs, vaccines, biopharmaceuticals, blood transfusions, medical devices, electromagnetic radiation emitting devices, cosmetics, animal foods & feed, and veterinary products.

Jurisdiction

The official power to make legal decisions and judgments, often referring to the geographic area or range of subjects to which this authority applies.