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Required Information

Problem $11-42($LO $11-3,$ LO $11-4)($Algo$)$

$[$The following information applies to the questions displayed below.$]$

On August $1$ of year $0,$ Dirksen purchased a machine for $\backslash$$$40,500$ to use in its business. On December $4$ of year $0,$ Dirksen sold the machine for $\backslash (\backslash$$ $37,250\backslash ).$ Use MACRS Table.

Note: Loss amounts should be Indicated by a minus sign. Do not round percentages used for calculatlons. Round other Intermedlate computatlons to the nearest whole dollar amount. Leave no answers blank. Enter zero if applicable.

Problem $11-42$ Part$-$b $($Algo$)$

b$.$ Dirksen depreclated the machinery using MACRS $($seven$-$year recovery perlod$).$ What are the amount and character of the galn or loss Dirksen will recognize on the sale if the machine is sold on January $15$ of year $1$ instead?