In Determining the Basis of Like-Kind Property Received, Postponed Losses

question 98

Multiple Choice

In determining the basis of like-kind property received, postponed losses are:

• A) Added to the basis of the old property.
• B) Subtracted from the basis of the old property.
• C) Added to the fair market value of the like-kind property received.
• D) Subtracted from the fair market value of the like-kind property received.
• E) None of the above.

---

Definitions:

Operations Management

The administration of business practices to create the highest level of efficiency within an organization.

Productive Enterprise

An organization engaged in the production of goods or services that aims to achieve high efficiency and productivity.

Service Sector

A segment of the economy that involves providing services rather than producing goods, including sectors like retail, education, healthcare, and financial services.

Productivity

The measure of how efficiently resources, such as labor and capital, are used to produce goods and services.