Required information Problem 10-54 (LO 10-2, LO 10-3) (Algo) 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 February 3 March 17 Basis $ 74,000 April 22 $ 269,000 "The delivery truck is not a luxury automobile. 14,000 27,000 154,000 In addition to these assets, Convers installed new flooring (qualified improvement property) to its office building on May 12 at a cost of $340,000. Problem 10-54 Part a (Algo) a. What is the allowable MACRS depreciation on Convers's property in the current year assuming Convers does not elect $179 expense and elects out of bonus depreciation? (Round your intermediate calculations and final answer to the nearest whole dollar amount.) MACRS depreciation
Required information Problem 10-54 (LO 10-2, LO 10-3) (Algo) 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 February 3 March 17 Basis $ 74,000 April 22 $ 269,000 "The delivery truck is not a luxury automobile. 14,000 27,000 154,000 In addition to these assets, Convers installed new flooring (qualified improvement property) to its office building on May 12 at a cost of $340,000. Problem 10-54 Part a (Algo) a. What is the allowable MACRS depreciation on Convers's property in the current year assuming Convers does not elect $179 expense and elects out of bonus depreciation? (Round your intermediate calculations and final answer to the nearest whole dollar amount.) MACRS depreciation
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Required information
Problem 10-54 (LO 10-2, LO 10-3) (Algo)
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
February 3
March 17
Basis
$ 74,000
April 22
$ 269,000
"The delivery truck is not a luxury automobile.
14,000
27,000
154,000
In addition to these assets, Convers installed new flooring (qualified improvement property) to its office building on May 12
at a cost of $340,000.
Problem 10-54 Part a (Algo)
a. What is the allowable MACRS depreciation on Convers's property in the current year assuming Convers does not elect
$179 expense and elects out of bonus depreciation? (Round your intermediate calculations and final answer to the nearest whole
dollar amount.)
MACRS depreciation
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