Marginal Property

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Property that is barely profitable to use. For example, if cotton that has been efficiently raised can sell for $100.00, yet cost $99.99 to raise, the land on which the cotton was raised is considered marginal property.

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Property that is barely profitable to use.


Example: The sale of cotton that has been efficiently raised yields $100; yet the cotton cost $99.99 to raise. The land on which the cotton was raised is therefore considered marginal property. Manufacturing Operations Warehouse and Distribution

Example: Atract of undeveloped land is deemed marginal property because of lack of access to a roadway.

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Next:Marginal Tax Bracket, Marital Deduction

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