Line 1 can be any number and line 2 must make 3 be 12733. Gain/loss on old car is factored into new car basis.
| 1.. |
“”List price” new car |
22733 |
|
| 2.. |
Trade in allowance |
-10000 |
|
| 3.. |
Cash to pay |
|
12733 |
| 4.. |
Old car price |
16733 |
|
| 5.. |
Depreciation taken |
-4978 |
|
| 6.. |
Basis old car |
|
11755 |
| 7.. |
Basis new car |
|
24488 |
