Johnson Industries purchased a metal-working lathe for $38,000. This item will be used for business 90% of the time. Accountants elected to take a $17,000 section 179 deduction and utilize the special depreciation allowance of 50%. Prepare a depreciation schedule using MACRS. Round all dollar amounts to the nearest cent. Johnson Industries MACRS Depreciation Schedule-Metal-working Lathe End of Year Basis for Depreciation Recovery Percent MACRS Depreciation Deduction Accumulated Depreciation Book Value 1 2 3 4 X X X 33.33% = 44.45% 14.81% 7.41%

Johnson Industries purchased a metal-working lathe for $38,000. This item will be used for business 90% of the time. Accountants elected to take a $17,000 section 179 deduction and utilize the special depreciation allowance of 50%. Prepare a depreciation schedule using MACRS. Round all dollar amounts to the nearest cent. Johnson Industries MACRS Depreciation Schedule-Metal-working Lathe End of Year Basis for Depreciation Recovery Percent MACRS Depreciation Deduction Accumulated Depreciation Book Value 1 2 3 4 X X X 33.33% = 44.45% 14.81% 7.41%

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter11: Depreciation, Depletion, Impairment, And Disposal

Section: Chapter Questions

Problem 7E: Loban Company purchased four cars for 9,000 each and expects that they will be sold in 3 years for...

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Johnson Industries purchased a metal-working lathe for $38,000. This item will be used for business 90% of the time. Accountants elected to take a $17,000 section 179 deduction and utilize the special depreciation allowance of 50%.
Prepare a depreciation schedule using MACRS.
Round all dollar amounts to the nearest cent.
Johnson Industries
MACRS Depreciation Schedule-Metal-working Lathe
End of Year Basis for Depreciation
=
Recovery Percent
MACRS Depreciation Deduction
Accumulated Depreciation
Book Value
1
33.33% =
2
44.45% =
3
14.81% =
4
7.41% =
X
X
X

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