On April 5, 2023, Kinsey places in service a new automobile that cost $52,250. He does not elect § 179 expensing, and he elects not to take any available additional first-year depreciation. The car is used 80% for business and 20% for personal use in each tax year. Kinsey uses the regular MACRS method of cost recovery (the auto is a 5-year asset). Click here to access the depreciation table to use for this problem. If required, round your final answers to the nearest dollar. Compute the total depreciation allowed for: 2023: 2024:
On April 5, 2023, Kinsey places in service a new automobile that cost $52,250. He does not elect § 179 expensing, and he elects not to take any available additional first-year depreciation. The car is used 80% for business and 20% for personal use in each tax year. Kinsey uses the regular MACRS method of cost recovery (the auto is a 5-year asset). Click here to access the depreciation table to use for this problem. If required, round your final answers to the nearest dollar. Compute the total depreciation allowed for: 2023: 2024:
Chapter8: Depreciation, Cost Recovery, Amortization, And Depletion
Section: Chapter Questions
Problem 27CE
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Transcribed Image Text:On April 5, 2023, Kinsey places in service a new automobile that cost
$52,250. He does not elect § 179 expensing, and he elects not to take
any available additional first-year depreciation. The car is used 80% for
business and 20% for personal use in each tax year. Kinsey uses the
regular MACRS method of cost recovery (the auto is a 5-year asset).
Click here to access the depreciation table to use for this
problem.
If required, round your final answers to the nearest dollar.
Compute the total depreciation allowed for:
2023:
2024:
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