Mario's delivery van is completely destroyed when a tree fell on it. Mario's insurance company pays him $11,000 for the accident. The van cost $20,000 three years ago. Tax depreciation deductions of $6,000 have been taken to date. The "Blue Book value" (i.e., fair market value) of the van is $12,000 on the accident date. What is Mario's casualty loss on the van?
A)$- 0 -
B)$ 1,000
C)$ 3,000
D)$ 8,000
E)$13,000

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The Answer of Mario's delivery van is completely destroyed when a tree fell on it. Mario's insurance company pays him $11,000 for the accident. The van cost $20,000 three years ago. Tax depreciation deductions of $6,000 have been taken to date. The "Blue Book value" (i.e., fair market value) of the van is $12,000 on the accident date. What is Mario's casualty loss on the van?
A)$- 0 -
B)$ 1,000
C)$ 3,000
D)$ 8,000
E)$13,000

Mario's Delivery Van Is Completely Destroyed When a Tree Fell