A fre destroyed equipment used by Pirates inc. in its manufacturing business. Pirates adjusted tax basis in the equipmient was $24,000. Three weeks aner the fire, Pirates paid $40,000 for a replacement equipment. Which of the followng statements is false? If the destroyed equipment was uninsured, Pirates recognizes a $16,000 capital loss. If the destroyed equipment was uninsured, Pirates takes a $40,000 basis in the new equipment. If the destroyed equipment was insured and Pirates received a $20,000 insurance reimbursement it recognizes a $4,000 ordinary lons If the destroyed equipment was insured and Pirates received a $20,000 insurance reimbursement, it takes a $40,000 basis in the new equipment. Pinecove Company realized a $74,900 gain on the exchange of one asset for another asset (no cash was included in the exchange) - The assets were like-kind properties. Pinecove reported the gain as revenue on its financial statements. Which of the following is true? The exchange resulted in a favorable temporary book/tax difference. The exchange resulted in a favorable permanent book/tax difference. The exchange resulted in an unfavorable temporary book/tax difference. The exchange resulted in an unfavorable permanent book/tax difference.