### Asset Depreciation ExampleAt the beginning of the year, Anna started a calendar-year business and placed the following assets in service:#### Asset Details:| Asset | Date Acquired | Cost Basis ||-----------------|---------------|------------|| Computers | 1/30 | $64,000 || Office Desks | 2/15 | $68,000 || Machinery | 7/25 | $111,000 || Office Building | 8/13 | $448,000 |Anna does not elect §179 expensing and chooses not to use bonus depreciation. You are to answer the following questions using MACRS depreciation guidelines (Refer to MACRS Tables 1 to 5). Calculations should not be rounded intermediate steps but should round the final answers to the nearest whole dollar.#### Question:**b. What is Anna’s year 2 cost recovery for each asset?**#### Year 2 Cost Recovery:| Asset | Year 2 Cost Recovery ||-----------------|----------------------|| Computers | $20,480 || Office Desks | $16,653 || Machinery | $27,184 || Office Building | -- (No amount given) || **Total** | **$75,786** |This table shows the cost recovery amounts for each asset in the second year.

The cost recovery technique, often known as cost recovery, is a way of recouping the cost of any…

At the beginning of the year, Anna began a calendar-year business and placed in year: Date Acquired 1/30 2/15 7/25 8/13 Asset Cost Basis $ 64,000 $ 68,000 $ 111,000 $ 448,000 Computers Office desks Machinery Office building Assuming Anna does not elect §179 expensing and elects not to use bonus depr questions: (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) (Do not ro your final answers to the nearest whole dollar amount.) at is Anna's year 2 cost recovery for each asset?

At the beginning of the year, Anna began a calendar-year business and placed in year: Date Acquired 1/30 2/15 7/25 8/13 Asset Cost Basis $ 64,000 $ 68,000 $ 111,000 $ 448,000 Computers Office desks Machinery Office building Assuming Anna does not elect §179 expensing and elects not to use bonus depr questions: (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) (Do not ro your final answers to the nearest whole dollar amount.) at is Anna's year 2 cost recovery for each asset?

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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At the beginning of the current year, Poplock began a calendar-year dog boarding business called Griff's Palace. Poplock bought and placed in service the following assets during the year: Asset Computer equipment Dog-grooming furniture Pickup truck Commercial building Land (one acre) Problem 10-46 Part a (Algo) Assuming Poplock 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. Leave no answer blank. Enter zero if applicable. a. What is Poplock's year 1 depreciation deduction for each asset? Answer is complete but not entirely correct. Depreciation Deduction Asset Computer equipment Dog-grooming fumiture Pickup truck Commercial building Land (one acre) Total Date Acquired Cost Basis 3/23 $9,800 5/12 11,800 9/17 10/11 10/11 $ $ $ $ $ $ 10,000 318,000 128,000 3,136 2,247…
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DLW Corporation acquired and placed in service the following assets during the year: Asset Date Acquired Cost Basis Computer equipment 2/17 $ 10,000 Furniture 5/12 $ 17,000 Commercial building 11/1 $ 270,000 Assuming DLW 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.) b. What is DLW's year 3 cost recovery for each asset if DLW sells these assets on 1/23 of year 3?
Required information Convers Corporation (calendar year-end) acquired the following assets during the current tax year: (ignore §179 expense and bonus depreciation for this problem): (Use MACRS Table 1, Table 2, and Table 5.) Asset Machinery Computer equipment Delivery truck* Furniture Total Date Placed in Original Service October 25 Basis $ 70,000 February 3 March 17 April 22 $ 253,000 10,000 23,000 150,000 The delivery truck is not a luxury automobile. In addition to these assets, Convers installed qualified real property (MACRS, 15 year, 150% DB) on May 12 at a cost of $300,000. b. What is the allowable MACRS depreciation on Convers's property in the current year assuming Convers does not elect out of bonus depreciation (but does not take §179 expense)? MACRS depreciation $ 553,000
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DLW Corporation acquired and placed in service the following assets during the year: Asset Date Acquired Cost Basis Computer equipment 3/11 $ 18,000 Furniture 3/7 $ 23,500 Commercial building 9/15 $ 317,000 Assuming DLW 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.) (Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount.) b. What is DLW's year 3 cost recovery for each asset if DLW sells these assets on 2/24 of year 3?
Required information Skip to question [The following information applies to the questions displayed below.] At the beginning of the year, Anna began a calendar-year business and placed in service the following assets during the year: Asset Date Acquired Cost Basis Computers 1/30 $ 28,000 Office desks 2/15 $ 32,000 Machinery 7/25 $ 75,000 Office building 8/13 $ 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?
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please dont provide answer in image format thank you b. What is Anna's year 2 cost recovery for each asset?
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