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Marin operates a manufacturing business, and this year the three-year-old van she used in the business...

Marin operates a manufacturing business, and this year the three-year-old van she used in the business was destroyed in a fire. The van was originally purchased for $21,600 and the adjusted basis was $5,600 at the time of the accident. Although the van was worth $6,160 at the time of accident, insurance only paid Marin $1,400 for the loss. What is the amount of Marin's casualty loss deduction?

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Answer #1

Amt of Marins casualty loss deduction

Adjusted Basis- Insurance Claim

=$5600 - $1400

= $4200

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