At the beginning of the year, Anna began a calendar-year business and placed in service the following assets during the year: Asset Computers Office desks Machinery office building Date Acquired 1/30 2/15 7/25 8/13 Cost Basis $ 28,000 $ 32,000 $ 75,000 $ 400,000 Assuming Anna does not elect §179 expensing and elects not to use bonus depreciation, answer the following questions: (Use MACRS Table 1. Table 2. Table 3, Table 4 and Table 5.) Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount. a. What is Anna's year 1 cost recovery for each asset?
At the beginning of the year, Anna began a calendar-year business and placed in service the following assets during the year: Asset Computers Office desks Machinery office building Date Acquired 1/30 2/15 7/25 8/13 Cost Basis $ 28,000 $ 32,000 $ 75,000 $ 400,000 Assuming Anna does not elect §179 expensing and elects not to use bonus depreciation, answer the following questions: (Use MACRS Table 1. Table 2. Table 3, Table 4 and Table 5.) Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount. a. What is Anna's year 1 cost recovery for each asset?
Chapter10: Cost Recovery On Property: Depreciation, Depletion, And Amortization
Section: Chapter Questions
Problem 37P
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Question
![At the beginning of the year, Anna began a calendar-year business and placed in service the following
assets during the year:
Asset
Computers
Office desks
Machinery
Office building
Date Acquired
1/30
2/15
Asset
7/25
8/13
Assuming Anna does not elect §179 expensing and elects not to use bonus depreciation, answer the
following questions: (Use MACRS Table 1, Table 2. Table 3, Table 4 and Table 5.)
Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar
amount.
a. What is Anna's year 1 cost recovery for each asset?
Year 1
Cost
Recovery
Computers
Office desks
Machinery
Office building
Total
Cost Basis
$ 28,000
$ 32,000
$ 75,000
$ 400,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F338bbcc0-1926-4ea7-8639-5de1e572b613%2F1e1fd103-01a6-4aee-80a5-f9f0266cd6cf%2Fjs6a75f_processed.jpeg&w=3840&q=75)
Transcribed Image Text:At the beginning of the year, Anna began a calendar-year business and placed in service the following
assets during the year:
Asset
Computers
Office desks
Machinery
Office building
Date Acquired
1/30
2/15
Asset
7/25
8/13
Assuming Anna does not elect §179 expensing and elects not to use bonus depreciation, answer the
following questions: (Use MACRS Table 1, Table 2. Table 3, Table 4 and Table 5.)
Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar
amount.
a. What is Anna's year 1 cost recovery for each asset?
Year 1
Cost
Recovery
Computers
Office desks
Machinery
Office building
Total
Cost Basis
$ 28,000
$ 32,000
$ 75,000
$ 400,000
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