Required information Problem 10-67 (LO 10-3) (Algo) (The following information applies to the questions displayed below) Lina purchased a new car for use in her business during 2021. The auto was the only business asset she purchased during the year, and her business was extremely profitable. Calculate her maximum depreciation deductions (including 5179 expense unless stated otherwise) for the automobile in 2021 and 2022 (Lina doesn't want to take bonus depreciation for 2021 or 2022) in the following alternative scenarios (assuming half-year convention for all): (Use MACRS Table 1. Table 2. and Exhibit 10-10) Problem 10-67 Part b (Algo) b. The vehicle cost $82,000, and business use is 100 percent. Depreciation deduction Year 2021 2022

Required information Problem 10-67 (LO 10-3) (Algo) (The following information applies to the questions displayed below) Lina purchased a new car for use in her business during 2021. The auto was the only business asset she purchased during the year, and her business was extremely profitable. Calculate her maximum depreciation deductions (including 5179 expense unless stated otherwise) for the automobile in 2021 and 2022 (Lina doesn't want to take bonus depreciation for 2021 or 2022) in the following alternative scenarios (assuming half-year convention for all): (Use MACRS Table 1. Table 2. and Exhibit 10-10) Problem 10-67 Part b (Algo) b. The vehicle cost $82,000, and business use is 100 percent. Depreciation deduction Year 2021 2022

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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Please help me with the following question. During 2018, William purchases the following capital assets for use in his catering business: New passenger automobile (September 30) $51,500 Baking equipment (June 30) 6,500 Assume that William decides to use the election to expense on the baking equipment (and has adequate taxable income to cover the deduction) but not on the automobile (which has a 5-year recovery period), and he also uses the MACRS accelerated method to calculate depreciation but elects out of bonus depreciation. Click here to access the depreciation table and click here to access the annual automobile depreciation limitations. Calculate William's maximum depreciation deduction for 2018, assuming he uses the automobile 100 percent in his business.
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In February if 2023, during the preparation of Julia's 2022 return, you explained to her that the options for using either section 179 deduction or special depreciation for the purchases of her 2022 assers. In her first few years in business, she was learning so much, depreciation was too confusing for her. When you showed her the tax savings she would receive to benefit her for
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Required information Skip to question [The following information applies to the questions displayed below.] Lina purchased a new car for use in her business during 2023. The auto was the only business asset she purchased during the year, and her business was extremely profitable. Calculate her maximum depreciation deductions (including $179 expense unless stated otherwise) for the automobile in 2023 and 2024 (Lina doesn't want to take bonus depreciation for 2023 or 2024) in the following alternative scenarios ( assuming half-year convention for all): (Use MACRS Table 1, Table 2, and Exhibit 10 - 10.) e. The vehicle cost $83, 800, and she used it 20 percent for business.
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