Rizzi Corporation sold a capital asset with a $692,000 book and tax basis for $650,000 cash. This was Rizzi's only asset sale during the year. The sale results in:
A. $42,000 unfavorable temporary book/tax difference
B. $42,000 favorable permanent book/tax difference
C. No book/tax difference
D. $42,000 unfavorable permanent book/tax difference
Answer: A
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