Exercise 8-24 (Algorithmic) (LO. 3) McKenzie purchased qualifying equipment for his business that cost $240,600 in 2022. The taxable income of the business for the year i $143,800 before consideration of any § 179 deduction. If an amount is zero, enter "0". a. Calculate McKenzie's § 179 expense deduction for 2022 and any carryover to 2023. § 179 expense deduction for 2022: § 179 carryover to 2023: $ b. How would your answer change if McKenzie decided to use additional first-year (bonus) depreciation on the equipment instead of us § 179 expensing? Hint: See Concept Summary 8.3 5 179 expense deduction for 2022: § 179 carryover to 2023:

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Exercise 8-24 (Algorithmic) (LO. 3)
McKenzie purchased qualifying equipment for his business that cost $240,600 in 2022. The taxable income of the business for the year is
$143,800 before consideration of any § 179 deduction.
If an amount is zero, enter "0".
a. Calculate McKenzie's § 179 expense deduction for 2022 and any carryover to 2023.
§ 179 expense deduction for 2022:
§ 179 carryover to 2023: $
b. How would your answer change if McKenzie decided to use additional first-year (bonus) depreciation on the equipment instead of using
§ 179 expensing? Hint: See Concept Summary 8.3
§ 179 expense deduction for 2022:
§ 179 carryover to 2023:
Transcribed Image Text:Exercise 8-24 (Algorithmic) (LO. 3) McKenzie purchased qualifying equipment for his business that cost $240,600 in 2022. The taxable income of the business for the year is $143,800 before consideration of any § 179 deduction. If an amount is zero, enter "0". a. Calculate McKenzie's § 179 expense deduction for 2022 and any carryover to 2023. § 179 expense deduction for 2022: § 179 carryover to 2023: $ b. How would your answer change if McKenzie decided to use additional first-year (bonus) depreciation on the equipment instead of using § 179 expensing? Hint: See Concept Summary 8.3 § 179 expense deduction for 2022: § 179 carryover to 2023:
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