They benefit producers and hurt consumers
Answer:
The recognized gains upon the sale is $2000.
Explanation:
As the cost of purchase of the equipment to Mathew is $15000 and the sale proceeds received is $17000. The gain is actually calculated as follows;
Gain = Sale proceeds –Cost of equipment
Gain = Matthew sells the equipment to an unrelated party for $17,000 – Matthew bought equipment for its fair market value of $15,000
Which is $1700 -$1500 = $2000
Therefore the recognized gains upon the sale is $2000.
<span>The Great Depression affected economists' beliefs about the macroeconomy because it made them realize that the U.S. economy actually depends on the economies of countries around the world. Prior to this, the thought was that our economy was solely dependent on actions within the U.S.</span>
