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28 August, 20:46

Butte sold a machine to a machine dealer for $50,000. butte bought the machine for $55,000 several years ago and has claimed $12,500 of depreciation expense on the machine. what is the amount and character of butte's gain or loss?

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  1. 29 August, 00:20
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    55,000-12,500=42,500

    50,000-42,500=7,500

    So the answer is

    7500 ordinary gain
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