McGraw-Hill's Taxation of Individuals and Business Entities 3rd Edition by Brian Spilker, Benjamin Ayers, John Robinson, Edmund Outslay, Ronald Worsham, John Barrick, Connie Weaver

Exercise 65

Identify each of White Corporation's following assets as an ordinary, capital, or §1231 asset.a.?Two years ago, White used its excess cash to purchase a piece of land as an investment.
b.?Two years ago, White purchased land and a warehouse.It uses these assets in its business.c.?Manufacturing machinery White purchased earlier this year.d.Inventory White purchased 13 months ago, but is ready to be shipped to a ?customer.e.?Office equipment White has used in its business for the past three years.f.??1,000 shares of stock in Black corporation that White purchased two years ago because it was a good investment.g.?Account receivable from a customer with terms 2/10 net 30.h.?Machinery White held for three years and then sold at a loss of $10,000.