Represent a type of recaptured depreciation

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Reference no: EM131995152

The Stevie Ray Vaughan company has been straight-line depreciating a CNC router it bought for $500,000 with a depreciable life of eight years and assuming it would get a salvage value of $20,000.

After three years, the router was sold for 60% of its original purchase price.

From a tax perspective, state below whether this sale represents a type of recaptured depreciation, loss, or capital gain. Also state below how much, to the closest dollar, is the recaptured depreciation, loss, or capital gain.

Reference no: EM131995152

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