almalina purschased and installed a new safe in her store in may 1 2021 she paid 7000 for the safe she elects to depreciate it under the ads system instead of the gds system what recovery period will she use

almalina purschased and installed a new safe in her store in may 1 2021 she paid 7000 for the safe she elects to depreciate it under the ads system instead of the gds system what recovery period will she use

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: Barbara has homeowner’s insurance with $100001 face amount.She recently incurred fire damage of…

A: Insurance refers to the amount that is paid to the insurance provider by the individual or…

Q: Taryn would like to open a new business as an interior designer, to funds her ambition she sold some…

A: Tax: Tax refers to a compulsory payment or a contribution to the state revenue, levied by the…

Q: Meg O'Brien received a gift of some small-scale jewelry manufacturing equipment that her father had…

A: The objective of the question is to determine the depreciable basis for the jewelry manufacturing…

Q: This year, Amy purchased $4,200 of equipment for use in her business. However, the machine was…

A: A tax advantage known as a casualty loss deduction is offered to people and companies who lose…

Q: On June 2, 2020, Sam's Auto Sales sold Jim a used car on account for $20,000. Sam's Auto Sales uses…

A: When an entity sells goods on credit, there may be chances of bad debt losses arising out of the…

Q: Joanna has an unpaid balance of $2500 on her account as of October 9, 2020. On October 15 and…

A: A credit card of an individual is a type of payment card that is used by individuals to make…

Q: After an unseasonably hot summer, Willow received a call from her tenant that the AC was no longer…

A: The objective of the question is to determine the date on which the HVAC unit would be considered…

Q: In 2021, Luke spent $3,000 to replace the exterior windows of his main home with energy-efficient…

A: The Nonbusiness Energy Property Credit is a tax credit that is available to individuals who own…

Q: On March 10, 2019, Elizabeth, a college

A: Elizabeth purchased house on Mar 10, 2019 and sold it on July 15 , 2022 . So she…

Q: Genie meets the requirements to deduct expenses related to a home office that she maintains in the…

A: Expenses is a term which form the bases of Balance Sheet. It simple words they are spending the…

Q: Lina purchased a new car for use in her business during 2021. The auto was the only business asset…

A: Modified Accelarted Cost Recovery System of depreciation allows…

Q: After an unseasonably hot summer, Willow received a call from her tenant that the AC was no longer…

A: The objective of the question is to determine the date on which the HVAC unit would be considered…

Q: Rachel had purchased a Van for her company, I am a photographer and not a dental hygienist Inc. she…

A: JOURNAL ENTRIESJournal Entry is the First stage of Accounting Process. Journal Entry is the Process…

Q: ASLEY is in the business of purchasing accounts receivable from businesses at a discount and then…

A: Accounts receivable represents the revenue earned by the company but money for the same has not been…

Q: Suppose burglars trashed your apartment and stole your personal property. Your rent is $350 per…

A: Answer Option D. Section 1 Coverage D , 700 Explanation: Section 1 Coverage D provides protection…

Q: Jake's Auto Repair received a $3,000, 90 day, 10 % promissory note from Samantha in exchange for…

A: A journal entry is a beginning record- keeping entry made into the account system of a business to…

Q: Katie made a prepaid purchase of medical insurance of $3,200 for the year. In seven months she…

A: Insurance Value =$3200 Insurance Period = 1 year = 12 months Cancelled on 7th months

Q: Will purchased a home for $350,000 five years ago. He did significant renovations and additions…

A: Insurance refers to the coverage provided by the insurer to the insured in case of any uncertainty.…

Q: NEED HELP ON PART B PLEASE For 2021, Sherri has a short-term loss of $2,250 and a long-term loss…

A: The gain or loss from the sale of a qualifying investment that has been owned for more than 12…

Q: Winner attends the opening of a new department store. All persons attending are given free raffle…

A: IRC Section 74:In this section, the amount that is received from awards and prizes is also included…

Q: recognize revenue

A: Revenue Recognition :- revenue is considered to have been realised when a transaction has been…

Q: Ann receives an unsolicited credi card in the mail and tosses it on her desk. Without Ann's…

A: The question is asking about the liability of a person (Ann) when an unsolicited credit card she…

Q: Sally is in the business of purchasing accounts receivable. Last year, Sally purchased an account…

A: Step 1: Sally's basis in the accounts receivable is $60,000. Why? The basis of the accounts…

Q: Katak purchased a Toyota Kluger for $70,000. She purchased the vehicle on 15 September 2021.

A: Generally, within the first year, cars depreciate up to 20% of their value per annum. Therefore,…

Q: Gail is a single elementary school teacher. She buys the following items for use in her classroom in…

A: A qualified educator can deduct unreimbursed trade expenditures of up to $250 ($500 if married and…

Q: Dan's grocery store was destroyed by a fire in 2023. He received $400,000 from his insurance…

A: The objective of the question is to calculate the basis of the new grocery store that Dan bought…

Q: Question 20 of 45. Raymond is a cash-basis, self-employed real estate broker, He always claims…

A: As per IRS, a self-employed person using a personal car for business purposes shall deduct car…

Q: David purchased a passenger automobile for $53500 he placed it into service on May 16 22 55% of the…

A: MACRS, which stands for Modified Accelerated Cost Recovery System, is a method of depreciation used…

Q: January

A: a)Sona is subjected to FBAR requirement- United States persons are required to file an FBAR if: the…

Q: Jennifer installed a new enery-efficient tankless water heater in 2021 at a cost of $5,000. She…

A: Tax Credit Rule - The federal tax credit only applies to equipment installed in existing homes, not…

Q: The Blacks moved from Maine to Nevada. As a result, they sold their house in Maine on January 4,…

A: The format of Form 8949 is attached herewith. As, the household property was purchased in year 1993…

Q: A major repair on the suspension system of Jane's 3-year old car will cost her $3.000 every 3 years…

A: The equivalent annual cost is a capital budgeting tool used to measure the cost-effectiveness of the…

Q: Lina purchased a new car for use in her business during 2021. The auto was the only business asset…

A: Automobiles under MACR depreciation is classified under 5 year property class, 200%, half year…

Q: Nancy Kapiolani lives in a duplex that she owns at 1218 Park Ave S., Tacoma, WA 98447. Nancy rents…

A: Certainly! Let's break down the details of reporting Nancy's rental income and expenses on Schedule…

Q: 63 Your insured lives in an apartment but takes a temporary position in another city and must store…

A: The objective of the question is to determine what a Tenant's insurance policy would cover in the…

Q: This year, Amy purchased $2,000 of equipment for use in her business. However, the machine was…

A: Equipment is the asset reported under the head plant, property, and equipment in the balance sheet…

Q: This year, Amy purchased $2,780 of equipment for use in her business. However, the machine was…

A: Casualty Loss: A casualty loss happens when an unusual occurrence lowers the asset's worth for the…

Q: On February 22020, Alexandra purchases a personal computer. The computer cost $2,200. Alexandra uses…

A: An asset is initially recognised at the original cost of acquisition. The cost of the asset is…

Q: You have an HO policy with the following limits: A $75,000 (dwelling) B-S 7,500 (other structures)…

A: Characteristics of an HO policy have been provided. We have to find the amount insured will claim…

Q: Liam hermandes 38 paid 112000 for a single family home in july 1 2020 and immediately placed in a…

A: For calculating the Depreciation, first we need to find the cost of purchased property. So total…

Q: Knowing the 14 day personal use on rental property rule, your client has the following days that she…

A: Let's break it down:10 days of vacation - count as personal use.9 days of working on the property -…

Q: On February 8, 2020, Holly purchased a residential apartment building. The cost basis assigned to…

A: Depreciation is a reduction in the value of assets due to the usage of that asset. We can evaluate…

Q: with a S policy's total coverage. Living expense coverage is 20% of the policy's total value is the…

A: The regular payment made by an individual or organization to an insurance company in exchange for…

Question

Definition Video Definition Accounting method wherein the cost of a tangible asset is spread over the asset's useful life. Depreciation usually denotes how much of the asset's value has been used up and is usually considered an operating expense. Depreciation occurs through normal wear and tear, obsolescence, accidents, etc. Video

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Modified Accelerated Cost Recovery System (MACRS), Listed Property (LO 8.2, 8.4) On February 2, 2019, Alexandra purchases a personal computer. The computer cost $1,800. Alexandra uses the computer 85 percent of the time in her accounting business, and the remaining 15 percent of the time for various personal uses. Calculate Alexandra's maximum depreciation deduction for 2019 for the computer, assuming half-year convention and she does not use bonus depreciation or make the election to expense.
On March 15, 2018, Isaac paid $1,020 for one year of car insurance, starting that day. Isaac decides to sell his car on June 12, 2018, and cancels his insurance. Considering June 12 as a day used, what prorated refund should he receive? Round your final answer to two decimals, if needed. (Do not round intermediate steps) Your Answer: Answer
Sarah purchased a warehouse for £420,000 in September 2020. She sold a retail premises to Bettina for £152,000 in November 2020. How much Stamp Duty is payable on these transactions and by whom? £10,540 by Sarah O £21,000 by Sarah and £3,040 by Bettina O £10,500 by Sarah and E40 by Bettina O £24,040 by Sarah
Carolina's house burned and she lost household items worth a total of $50,000. House insured for $160,000, homeowner's policy coverage personal belongings up to 55% of insured value of the house.Calculate how much insursance coverage policy provides personal belongings and will she recieve payment for belongings?
On March 8, 2019, Holly purchased a residential apartment building. The cost basis assigned to the building is $700,000. Holly also owns another residential apartment building that she purchased on October 15, 2019, with a cost basis of $400,000. Click here to access the depreciation tables. a. Calculate Holly's total depreciation deduction for the apartments for 2019 using MACRS.$fill in the blank 98b1bc044f93fcc_1 b. Calculate Holly's total depreciation deduction for the apartments for 2020 using MACRS.
Amy is a business owner who purchased a policy of business insurance providing 1,000,000 limits for 1st party coverages. Covid and inflation has cut into her profits so she chose to purchase an actual cash value 1 party coverage limit as opposed to replacement cost. Unfortunately she had a fire and all of the contents of her office building were destroyed (computers, copying machine, phones etc.) Amy's office contents were quite old and had a value at the time of the fire of $550,000. The cost to replace these items, however, was $975,000. Amy is glad she purchased 1,000,000 limits thinking she will be able to buy new contents to replace the destroyed ones without having to spend any $. After all her limits are less than the cost to replace. Is she correct? Explain.
Please help me understand this question?Kevin recently purchased a board form HO-2 policy with no deductible. The policy value is $174,000. A year later, his roof is damaged by vandalism and he suffers a loss of $139,200. If the replacement value of Kevin’s house is $290,000 and the insurance policy includes a replacement cost requirement of 80%, he will receive a reimbursement
ss. Subject :- Accounting The Blacks moved from Maine to Nevada. As a result, they sold their house in Maine on January 4, 2018. They originally paid $76,000 for the home on July 3, 1993, but managed to sell it for $604,000. They spent $13,000 on improvements over the years. They are currently renting in Las Vegas while they look for a new home. How do I complete Form 8949???
Blaire purchased a new car .He got an invioce for $ 4050 dated march 27 with terms 3/10 ,2/20 , n/60.He paid $1200 on april 1 and $480 on april 11 .what balance was still owned after april 11 ?
Which of the following items would not automatically be covered under an HO-3 form? the insured’s driveaway, if damaged by falling object The insured’s pedigreed collie valued at $6000 or $7000 A lawnmower in the insured’s garage personal property of the insured’s daughter who is away from college
Data: Ingrid is a business owner. Assume that Ingrid purchased only a phone list with a useful life of five years for $10,000. Question How much amortization expense on the phone list can Ingrid deduct in year 1, year 2, and year 3? Thx
A customer bought goods from John, a registered VAT taxpayer, on the 12 February 2022. The goods were delivered on the 15 February 2022. The goods were invoiced on 15 March 2022. The customer paid for the goods on the 1 April 2022. If John is required to file his VAT return on the 15 day of the month following when the supply takes place, John would be required to: a. File his April 2022 VAT Return on the 15 May 2022 b. He is not required to file a VAT Return as the sales is below the VAT threshold. c. File his February 2022 VAT Return on the 15 March 2022 d. File his March 2022 VAT Return on the 15 April 2022