on january 3, 20a2, ace corp. owned a machine that had cost $ 70,000. the accumulated depreciation was $ 60,000, original estimated salvage value was $ 6,000, and current fair market value was $ 110,000. on january 4, 20a2, this machine was irreparably damaged by ross corp. and became worthless. in october 20a2, a court awarded damages of $ 110,000 against ross in favor of ace. at december 31, 20a2, the final outcome of this case was awaiting appeal and was, therefore, uncertain. however, ace's attorney is virtually certain that ross's appeal will be denied and that ace corp. will receive the award. at december 31, 20a2, what amount should ace accrue for this gain contingency?
