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enot [183]
3 years ago
5

Sandra's automobile, which is used exclusively in her trade or business, was damaged in an accident. The adjusted basis prior to

the accident was $11,000. The fair market value before the accident was $10,000 and the fair market value after the accident is $6,000. Insurance proceeds of $3,200 are received. What is Sandra's adjusted basis for the automobile after the casualty?
Business
1 answer:
strojnjashka [21]3 years ago
5 0

Answer:

The Sandra's adjusted basis for the automobile after the casualty will be $7000.

Explanation:

Sandra's adjusted basis after accident can be taken out using the following procedure -

  ADJUSTED BASIS BEFORE ACCIDENT

                         -

 LOSS DEDUCTION

                         -

 INSURANCE PROCEEDS

we have been given the value of adjusted basis before accident = $11,000 and insurance proceeds as = $3200, but we have to find the value of loss deduction.

LOSS DEDUCTION =

VALUE DECLINE - INSURANCE PROCEEDS

Where value decline is the difference between the market value of automobile before and after accident and insurance proceeds - ($10,000 - $6000) - $3200

     VALUE DECLINE - $4000 - $3200

                                 = $800

Now putting all the values in the procedure -

= $11,000 - $800 - $3200

= $7000

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The best answer for this question would be:

 

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Sam, age 35, and kathy, age 33, are married and have a son, age 1. sam is employed as an accountant and earns $60,000 annually.
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<h3>Who is a  financial planner?</h3>

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6 0
2 years ago
A telephone customer service center wants to ensure that the majority of its customers’ calls are answered within a reasonable a
mr_godi [17]

Answer:

The Capability Index for this process is 1.04. The right answer is B

Explanation:

According to the given data we have the following:

μ = 31 Seconds

USL = 45

LSL = 10

Standard deviation σ= 4.5

Therefore, in order to calculate the Capability Index for this process we would have to use the following formula:

Cpk=Min<u>( USL-μ</u>  ,  <u>μ- LSL</u>)

               3×σ            3×σ

Cpk=Min<u>( 45-31</u>  ,  31<u>- 10</u>)

               3×4.5      3×4.5

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7 0
3 years ago
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Answer:

c. a debit to Inventory for $10,000

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Also as per the general rule, discount is a kind of income, and incomes are recorded only when earned, therefore, the cost of inventory shall be reduced by 4% only when the payment is made, therefore the inventory on the date of purchase shall be recorded at $10,000 only and not for $9,600.

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4 0
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dmitriy555 [2]

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