Sonny has tools that he has been using for personal use that cost him $4,500. Sonny has

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Sonny has tools that he has been using for personal use that cost him $4,500. Sonny has decided to start a handyman business and will use the tools 100% for business beginning May 1.

As of May 1, the tools have a fair market value of $2,000. What is Sonny’s depreciable basis in the tools?

a. $0

c. $2,000

b. $1,000

d. $4,500

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Fundamentals Of Taxation For Individuals A Practical Approach 2024

ISBN: 9781119744191

1st Edition

Authors: Gregory A Carnes, Suzanne Youngberg

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Question Posted: Apr 17, 2024 04:00 AM

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Sonny has tools that he has been using for personal use that cost him $4,500. Sonny has

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Fundamentals Of Taxation For Individuals A Practical Approach 2024

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