For example, if your company spends $18,000 on the new vehicle, the company would be required to recognize $2,000 of âgain,â the difference between the insurance recovery and the cost of the replacement vehicle. That is a savings of $3,000 in taxable income.
Definition of RAREFACTION. 1. : the action or process of rarefying. 2. : the quality or state of being rarefied. 3. : a state or region of minimum pressure in a medium traversed by compressional waves (as sound waves). â rarÂ·eÂ·facÂ·tionÂ·al \-shnÉl, -shÉ-nÉl\ adjective. See rarefaction defined for kids. ADVERTISEMENT.
If an event is rare, it doesn't happen often. If an object is rare, there aren't many of its kind. Obviously, finding a rare gem is a rare occasion. Rare comes from the Latin word rarus, meaning âwidely spaced,â as rare things are â whether in actual space or in time. You thought it was rare to meet someone you have so much in common with, until he fainted looking at the rare steak you ordered.