Suppose Ms. Smith sells her 2018 Honda Fit next year. The original cost of the vehicle was $10,000. During the time she has owned the car she has taken $3,000 dollars of deprecation on it. Ms. Williams sells the car for $9,000. What is result of the transaction

An ordinary gain of $2,000

Step-by-step explanation:

Cost of the vehicle (C) = $10,000

Depreciation (D) = $3,000

Selling price (S) = $9,000

Worth of the vehicle = Cost price - depreciation

=$10,000-3,000

=$7,000

Net worth = selling price - worth of the vehicle

=$9,000-$7,000

=$2,000