Alice purchased office furniture on September 20, 2022, for $100,000. On October 10, 2022, she purchased business computers for $80,000. Alice purchased no other assets during 2022. Alice placed all of the assets in service on January 15, 2023. Alice did not elect to expense any of the assets under § 179, did not elect straight-line cost recovery, did not take additional first-year § 168(k) depreciation (if available), and did not place any other assets in service during 2023. Determine the cost recovery deduction for the business assets for 2023.

Alice purchased office furniture on September 20, 2022, for $100,000. On October 10, 2022, she purchased business computers for $80,000. Alice purchased no other assets during 2022. Alice placed all of the assets in service on January 15, 2023. Alice did not elect to expense any of the assets under § 179, did not elect straight-line cost recovery, did not take additional first-year § 168(k) depreciation (if available), and did not place any other assets in service during 2023. Determine the cost recovery deduction for the business assets for 2023.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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