During 2013,Thomas Has a Net Section 1231 Gain of $57,000

question 81

Multiple Choice

During 2013,Thomas has a net Section 1231 gain of $57,000.In 2012,Thomas reported a net Section 1231 loss of $60,000.What is the character of the 2013 gain?

• A)$60,000 long-term capital gain.
• B)$60,000 ordinary gain.
• C)$57,000 ordinary gain.
• D)$57,000 long-term capital loss.
• E)$57,000 long-term capital gain.

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Definitions:

Crude Oil

A natural, unrefined petroleum product composed of hydrocarbon deposits and other organic materials.

Crude Oil Refinement

The industrial process of transforming crude oil into useful products such as gasoline, diesel, and other petrochemicals.

Diesel Fuel

A type of fuel derived from crude oil and used in diesel engines, known for its energy efficiency compared to gasoline.

Gasoline Fraction

A specific range of hydrocarbons derived from petroleum refining used primarily as fuel in internal combustion engines.