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:

Qing

The last imperial dynasty of China, ruling from 1644 to 1912, known for its significant cultural, social, and political developments.

Ming

Refers to the Ming Dynasty, a ruling dynasty of China from 1368 to 1644 known for its trade expansion and cultural achievements.

Yuan

The basic unit of currency in China, also referred to as Renminbi (RMB).

Painting Style

The distinctive method and approach an artist uses in their paintings, encompassing techniques, brushwork, and choice of subjects.