A small manufacturer is considering several locations for a new facility.They have identified four factors that they consider to be important for their location decision.They have decided to assign scores to the four factors,with a higher score indicating a more favorable location.Use the information in the following table to perform a factor rating to select the best location.
Definitions:
Recognized Gain
The profit realized from the sale or exchange of an asset over its adjusted basis.
Adjusted Basis
The net cost of an asset after adjusting for various tax-related items, such as improvements and sales.
Fair Market Value
The estimated price an asset would fetch in the marketplace, subject to the willingness of both buyer and seller.
Recognized Loss
A loss on an investment that has been sold for less than its purchase price, which can be used to offset capital gains for tax purposes.
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