Estelle owns The Estelle Talent Agency in New York. On November 10, 2020, she purchased office furniture (7-year property) for $500,000. In addition, she purchased a printing machine (7-year property) on February 22, 2020 for $200,000. The office furniture and printing machine were the only two assets Estelle purchased in 2020, and she placed them into business use on the respective date of the purchase. Estelle has chosen not to elect bonus depreciation or Section 179 expensing for either asset. Answer the following two questions. For credit, you must round your answer to the NEAREST DOLLAR. Do NOT enter the dollar sign in your answer - only enter the numbers (e.g., X,XXX). For example, one thousand dollars should be entered as 1,000. Enter zero (i.e., “0”) where necessary. (b) Assume that Estelle sells the printing machine on June 1, 2022. What is Estelle’s cost recovery deduction for the printing machine in 2022? $
Estelle owns The Estelle Talent Agency in New York. On November 10, 2020, she purchased office furniture (7-year property) for $500,000. In addition, she purchased a printing machine (7-year property) on February 22, 2020 for $200,000. The office furniture and printing machine were the only two assets Estelle purchased in 2020, and she placed them into business use on the respective date of the purchase. Estelle has chosen not to elect bonus
For credit, you must round your answer to the NEAREST DOLLAR. Do NOT enter the dollar sign in your answer - only enter the numbers (e.g., X,XXX). For example, one thousand dollars should be entered as 1,000. Enter zero (i.e., “0”) where necessary.
(b) Assume that Estelle sells the printing machine on June 1, 2022. What is Estelle’s cost recovery deduction for the printing machine in 2022?
$
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