Tara Purchased a Machine for $40,000 to Be Used in Her

question 47

Multiple Choice

Tara purchased a machine for $40,000 to be used in her business.The cost recovery allowed and allowable for the three years the machine was used are as follows: If Tara sells the machine after three years for $15,000,how much gain should she recognize?

• A)$3,480.
• B)$6,360.
• C)$9,240.
• D)$11,480.
• E)None of the above.

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Definitions:

Supply

The total amount of a good or service available for purchase at any given price level within a specific market.

Demand

The quantity of a good or service that consumers are willing and able to purchase at various prices during a given time period.

Exchange Rate

The value of one currency for the purpose of conversion to another, determining how much of one currency can be exchanged for another.

Exchange Rate

The value of one currency expressed in terms of another currency, determining how much of one currency can be exchanged for another.