Chaz Corporation has taxable income in 2020 of $396,000 for purposes of computing the §179 expense and acquired the following assets during the year:What is the maximum total depreciation deduction that Chaz may deduct in 2020? (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) (Round your intermediate calculations and final answer to the nearest whole dollar amount.) Placed inAssetServiceBasisSeptember 12February 10August 21Office furniture621,000948,00074,000Computer equipmentDelivery truckQualified improvementpropertySeptember 301,549,000Total$ 3,192,000 TABLE 5 Nonresidential Real Property Mid-Month Convention Straight Line-39 Years (for assets placed in service on or after May 13, 1993)Month Property Placed in ServiceMonth 1Month 2Month 3Month 4Month 5Month 6Month 7Month 8Month 9Month 10Month 11Month 12Year 12.461%2.247%2.033%1.819%1.605%1.391%1.177%0.963%0.749%0.535%0.321%0.107%Year 2–392.5642.5642.5642.5642.5642.5642.5642.5642.5642.5642.5642.564Year 400.1070.3210.5350.7490.9631.1771.3911.6051.8192.0332.2472.461

Introduction Depreciation expense can be defined as a non-cash expenditure which represents the…

Answered: furnit r equi

Business

Accounting

furnit r equi

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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Woolard Supplies (a sole proprietorship) has taxable income in 2023 of $240,000 before any depreciation deductions (§179, bonus, or MACRS) and placed some office furniture into service during the year. The furniture does not qualify for bonus depreciation. (Use MACRS Table 1, Table 2, Table 3, Table 4, and Table 5.) Note: Round your intermediate calculations and final answers to the nearest whole dollar amount. Asset Office furniture (used) Problem 10-62 Part b (Static) Placed In Service March 20 Basis $ 1,200,000 b. If Woolard elects the maximum amount of §179 for the year, what is the amount of deductible §179 expense for the year? What is the total depreciation that Woolard may deduct in 2023? What is Woolard's §179 carryforward amount to next year, if any? X Answer is complete but not entirely correct. Deductible $179 expense $ 211,420 X Total depreciation deduction $ 240,000 §179 carryforward $ 788,580 X
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