Expert answer:ACC- On July 1, 2010, Lorty Inc. sells equipment f

  

Solved by verified expert :On July 1, 2010, Lorty Inc. sells equipment for $126,000. This equipment had an original cost of $111,000 and a net book value of $93,000. For tax purposes, these assets were in Class 8. The UCC balance in the his class on January 1, 2010 was $103,000. There were no other additions or dispositions of Class 8 assets during the taxation year ending December 31, 2010. Indicate the adjustments that would be required to Lorty Inc.’s accounting income in the determination of 2010 net income for tax purposes.

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