Which of the following properties that was sold during January 2013 is Section 1231 property for Baylan Toy Manufacturing Corporation?
I.Automobile purchased in 2008.
II.Land used in the business since 2007.
III.Factory building purchased and placed into service in May 2012.
IV.Office building purchased and placed into service in June 2009.
A)Only statement I is correct.
B)Statements I, II, and IV are correct.
C)Statements III and IV are correct.
D)Statements II and III are correct.
E)Statements I, II, III, and IV are correct.

Question

Quizplus · Accepted Answer

Section 1231 property includes depreciable property and real estate used in a business and held for more than one year. The automobile, land, and office building meet these criteria. The factory building does not qualify as it was held for less than a year.

Which of the Following Properties That Was Sold During January