Last year, Lucy purchased a $100,000 account receivable for $90,000. During the current year, Lucy collected $97,000 on the account. What are the tax consequences to Lucy associated with the collection of the account receivable? No subsequent collections are expected.
A) $0
B) $2,000 gain
C) $3,000 loss
D) $13,000 loss
E) None of the above

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The Answer of Last year, Lucy purchased a $100,000 account receivable for $90,000. During the current year, Lucy collected $97,000 on the account. What are the tax consequences to Lucy associated with the collection of the account receivable? No subsequent collections are expected.
A) $0
B) $2,000 gain
C) $3,000 loss
D) $13,000 loss
E) None of the above

Last Year, Lucy Purchased a $100,000 Account Receivable for $90,000