Maria Acquired a Personal Computer to Use 100% in Her

question 40

Essay

Maria acquired a personal computer to use 100% in her business for $6,000.She took MACRS deductions of $2,880 before selling it in current year.Determine the amount and character of the gain (loss)recognized on the sale of the computer,assuming a sales price that differs in each of the three independent situations:
$$\begin{array} { l c c c } &\underline { \text { Sales Price } }& \begin{array} { r } \text { Amount of } \\\underline { \text { Gain(Loss } )}\end{array} & \underline { \text { Character } ( 1231,1245,1250 )} \\\text { a } & \$ 2,400 &\underline { \quad\quad\quad\quad\quad } &\underline { \quad\quad\quad\quad\quad } \\\text { b. } & \$ 6,350 &\underline { \quad\quad\quad\quad\quad } &\underline { \quad\quad\quad\quad\quad } \\\text { c. } & \$ 4,600 &\underline { \quad\quad\quad\quad\quad } &\underline { \quad\quad\quad\quad\quad } \\\end{array}$$

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Definitions:

Central Bank

An institution that manages a state's currency, money supply, and interest rates, overseeing the commercial banking system of its country.

Prints Money

Refers to the action of a central bank creating additional currency as part of its monetary policy.

Currency Loses Value

A situation where a currency diminishes in purchasing power compared to other currencies, often due to inflation or economic policies.

Purchasing-power Parity

A theory of exchange rates whereby a unit of any given currency should be able to buy the same quantity of goods in all countries.