AMP Corporation (calendar-year-end) has 2020 taxable income of $1,900,000 for purposes of computing the $179 expense. During 2020, AMP acquired the following assets: (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) Asset Machinery Computer equipment Office building Total Placed in Service September 12 February 10 April 2 Basis $ 1,370,000 Maximum total depreciation (including §179 expense) 405,000 520,000 $ 2,295,000 b. What is the maximum total depreciation, including §179 expense, that AMP may deduct in 2020 on the assets it placed in service 2020, assuming no bonus depreciation? (Round your intermediate calculations and final answer to the nearest whole dollar amount.)
AMP Corporation (calendar-year-end) has 2020 taxable income of $1,900,000 for purposes of computing the $179 expense. During 2020, AMP acquired the following assets: (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) Asset Machinery Computer equipment Office building Total Placed in Service September 12 February 10 April 2 Basis $ 1,370,000 Maximum total depreciation (including §179 expense) 405,000 520,000 $ 2,295,000 b. What is the maximum total depreciation, including §179 expense, that AMP may deduct in 2020 on the assets it placed in service 2020, assuming no bonus depreciation? (Round your intermediate calculations and final answer to the nearest whole dollar amount.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text:AMP Corporation (calendar-year-end) has 2020 taxable income of $1,900,000 for purposes of computing the §179
expense. During 2020, AMP acquired the following assets: (Use MACRS Table 1, Table 2, Table 3, Table 4 and
Table 5.)
Asset
Machinery
Computer equipment
Office building
Total
Placed in
Service
September 12
February 10
April 2
Basis
$ 1,370,000
Maximum total depreciation (including §179 expense)
405,000
520,000
$ 2,295,000
b. What is the maximum total depreciation, including §179 expense, that AMP may deduct in 2020 on the assets it placed in service in
2020, assuming no bonus depreciation? (Round your intermediate calculations and final answer to the nearest whole dollar
amount.)
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