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Maude exchanges a business machine for a new business machine. The adjusted basis of the old machine is 62000 and the fair market value of the new machine is 70000. the recognized gain or loss and the basis of the new machine is :

a. 0 and 0

b. 0 and 62000

c. 0 and 70000

d. 8000 and 70000

Accounting Basics, Accounting

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  • Reference No.:- M994629

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