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What is the allowable MACRS depreciation on Convers's property in the current year assuming Convers does not 179 expense and elects out of bonus depreciation? lote: Round your intermediate calculations to the nearest whole dollar amount.

What is the allowable MACRS depreciation on Convers's property in the current year assuming Convers does not 179 expense and elects out of bonus depreciation? lote: Round your intermediate calculations to the nearest whole dollar amount.

FINANCIAL ACCOUNTING
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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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 Date Placed in Original Service Basis October 25 $ 96,000 February 3 March 17 April 22 Total "The delivery truck is not a luxury automobile. 36,000 49,000 176,000 $ 357,000 In addition to these assets, Convers installed qualified real property (MACRS, 15 year, 150% DB) on May 12 at a cost of $560,000. a. What is the allowable MACRS depreciation on Convers's property in the current year assuming Convers does not e $179 expense and elects out of bonus depreciation? Note: Round your intermediate calculations to the nearest whole dollar amount. MACRS depreciation Show Transcribed Text c Check my work Required information 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 J Asset Machinery Computer equipment Delivery truck+ Furniture Total Date Placed in Original Service October 25 February 3 March 17 Basis $ 96,000 36,000 49,000 176,000 April 22 $357,000 The delivery truck is not a luxury automobile In addition to these assets, Convers installed qualified real property (MACRS, 15 year, 150% DB) on May 12 at a cost of $560,000. b. What is the allowable MACRS depreciation on Convers's property in the current year assuming Convers does not elect out of bonus depreciation (but does not take 5179 expense)? Note: Round your intermediate calculations to the nearest whole dollar amount. MACRS depreciation
Transcribed Image Text: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 Date Placed in Original Service Basis October 25 $ 96,000 February 3 March 17 April 22 Total "The delivery truck is not a luxury automobile. 36,000 49,000 176,000 $ 357,000 In addition to these assets, Convers installed qualified real property (MACRS, 15 year, 150% DB) on May 12 at a cost of $560,000. a. What is the allowable MACRS depreciation on Convers's property in the current year assuming Convers does not e $179 expense and elects out of bonus depreciation? Note: Round your intermediate calculations to the nearest whole dollar amount. MACRS depreciation Show Transcribed Text c Check my work Required information 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 J Asset Machinery Computer equipment Delivery truck+ Furniture Total Date Placed in Original Service October 25 February 3 March 17 Basis $ 96,000 36,000 49,000 176,000 April 22 $357,000 The delivery truck is not a luxury automobile In addition to these assets, Convers installed qualified real property (MACRS, 15 year, 150% DB) on May 12 at a cost of $560,000. b. What is the allowable MACRS depreciation on Convers's property in the current year assuming Convers does not elect out of bonus depreciation (but does not take 5179 expense)? Note: Round your intermediate calculations to the nearest whole dollar amount. MACRS depreciation
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Section 179 Deduction and Modified Accelerated Cost Recovery System (MACRS) Depreciation
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