Andrew purchased new laptop computers (5 Year Property) totaling $80,000 on October 15, 2020. These were the only assets purchased in 2020. Andrew placed the assets in service on January 15, 2021. He did not take $179 or bonus depreciation. The following depreciation schedules have been provided for your use: MACRS: HALF-YEAR CONVENTION TABLE YEAR 5 YR REC. PERIOD 20.00% 2 32.00% 3 19.20% MACRS: MID-QUARTER CONVENTION TABLE (1ST QTR) YEAR 5 YR REC. PERIOD 35.00% 2 26.00% 15.60% MACRS: MID-QUARTER CONVENTION TABLE (4TH QTR) YEAR 5 YR REC. PERIOD 5.00% 2 38.00% 3 22. 80% Determine the cost recovery deduction, in total, for the 2021 year. Round to the nearest dollar
Andrew purchased new laptop computers (5 Year Property) totaling $80,000 on October 15, 2020. These were the only assets purchased in 2020. Andrew placed the assets in service on January 15, 2021. He did not take $179 or bonus depreciation. The following depreciation schedules have been provided for your use: MACRS: HALF-YEAR CONVENTION TABLE YEAR 5 YR REC. PERIOD 20.00% 2 32.00% 3 19.20% MACRS: MID-QUARTER CONVENTION TABLE (1ST QTR) YEAR 5 YR REC. PERIOD 35.00% 2 26.00% 15.60% MACRS: MID-QUARTER CONVENTION TABLE (4TH QTR) YEAR 5 YR REC. PERIOD 5.00% 2 38.00% 3 22. 80% Determine the cost recovery deduction, in total, for the 2021 year. Round to the nearest dollar
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Concept explainers
Question
urgent please
Transcribed Image Text:Andrew purchased new laptop computers (5 Year Property) totaling $80,000 on October 15, 2020. These were the only
assets purchased in 2020. Andrew placed the assets in service on January 15, 2021. He did not take $179 or bonus
depreciation. The following depreciation schedules have been provided for your use:
MACRS: HALF-YEAR CONVENTION TABLE
YEAR
5 YR REC. PERIOD
1
20.00%
32.00%
3
19.20%
MACRS: MID-QUARTER CONVENTION TABLE (1ST QTR)
YEAR
5 YR REC. PERIOD
35.00%
26.00%
3.
15.60%
MACRS: MID-QUARTER CONVENTION TABLE (4TH QTR)
YEAR
S YR REC. PERIOD
5.00%
38.00%
22.80%
Determine the cost recovery deduction, in total, for the 2021 year. Round to the nearest dollar
O $30,400
O S16,000
O S28,000
O 4,000
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps with 1 images
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.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education