Problem
A machine purchased by the Bee Buzz saw Company originally cost $245,000. Delivery and installation charges amounted to $5000. The declared salvage value was $25,000. Early in year 4, the company changed its product mix and found that it no longer needed the machine. One of its competitors agreed to buy the machine for $90,000. Determine the loss, gain, or recapture of MACRS depreciation on the sale. The ADR is 12 years for this machine.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.