Business equipment is purchased on March 10,2013,used in the business until September 29,2013,and sold at a $23,000 loss on October 10,2013.The equipment was not suitable for the work the business had purchased it for.The loss on the disposition should have been reported in the 2013 Form 4797,Part:
A)I.
B)II.
C)III.
D)IV.
E)This transaction would not be reported in the Form 4797.

Question

Quizplus · Accepted Answer

The business equipment was an ordinary asset because it was not held more than 12 months.Gains and losses from disposition of ordinary assets are reported in Part II of the Form 4797.

Business Equipment Is Purchased on March 10,2013,used in the Business