Zachary purchased a Ford Expedition (more than 6,000 lb) for $39,000 in March 2023. What is the maximum depreciation expense allowed, assuming that Zachary is eligible for the I R C §179 expense election and no bonus is elected? a. $7,800. b. $28,900. c. $30,920. d. $39,000.

Zachary purchased a Ford Expedition (more than 6,000 lb) for $39,000 in March 2023. What is the maximum depreciation expense allowed, assuming that Zachary is eligible for the I R C §179 expense election and no bonus is elected? a. $7,800. b. $28,900. c. $30,920. d. $39,000.

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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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.
Q.1 On May 5, 2021, Javier Sanchez purchased and placed in service a new 7-year class asset costing $460,400 for use in his landscaping business, which he operates as a single member LLC (Sanchez Landscaping LLC). Rather than using bonus depreciation, Javier would like to use § 179 to expense $200,000 of this asset and then use regular MACRS to cost recover the remaining cost. During 2021, his business generated a net income of $552,480 before any § 179 immediate expense election. If required round your intermediate computations and final answers to the nearest dollar. Click here to access the depreciation table to use for this problem. a. Determine the cost recovery deductions (including first-year additional depreciation) that Javier Sanchez can claim with respect to this asset in 2021 and 2022
In 2021, Peter Quill had a 5 179 deduction carryover of $40,000. In 2022, Peter elected 5 179 for an asset acquired at a cost of $120,000. Peter's $ 179 business income imitation for 2022 is $130.000. Determine Peter's § 179 deduction for 2022 O a $25,000 Ob $115,000 Oc$130,000 Od $140,000
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A. ACQUISITION COSTS Mr. Ardi acquired land at a cost of Rp4.200.000.000 on April 1, 2019. In addition to this cost, he had to pay the following expenses: a. Commission fee, 2% from the land price, Rp84,000,000 b. Land acquisition tax Rp12,000,000 c. Removal cost of old (unused) building Rp20.500.000. Mr. Ardi received Rp17.000.000 from the sales of salvage materials. d. Rpl10.000.000 to build a fence e. Rp215.000.000 to build a parking lot Instructions: Prepare the journal entries for the above transaction! (4%)
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1) Kristine sold one asset on March 20th of 2023. It was a computer with an original basis of $10,000, purchased in May of 2021 and depreciated under the half-year convention. What is Kristine's depreciation deduction for 2023? Note: Round final answer to the nearest whole number. Blank] Blank 1 Add your answer
At the time of his death in 2022, Donald owned a farm (a qualified, closely held business) with a most suitable use value of $5,600,000 and a current use value of $3,920,000. a. If the special-use valuation election is made, Donald's gross estate must include how much as to the farm? 1,120,000 X Feedback ▼ Check My Work The major objective of the special use value election, is to provide a form of limited relief to protect the heirs against the possibility of having to sell a portion of the family farm to pay estate taxes. b. Assume the farm had a current use value of $5,040,000 (not $3,920,000). Donald's gross estate must include how much as to the farm? 5,040,000

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