Way Corporation disposed of the following tangible personal property assets in the current year.DateAcquired5/12/19OriginalBasis$ 55,00072,00020,000270,0003/23/209/17/2110/11/2210/11/2380,000AssetFurniture (7-year)Machinery (7-year)Delivery truck* (5-year)Machinery (7-year)Computer (5-year)*Used 100 percent for business.Date Sold7/15/233/15/233/13/238/11/2312/15/23Depreciation deductionConventionHYMQELEGEHYMQHYAssume that the delivery truck is not a luxury auto. Calculate Way Corporation's 2023 depreciation deduction (ignore §179 expenseand bonus depreciation for this problem). (Use MACRS Table 1. Table 2, and Exhibit 10-6.)Note: Round your intermediate dollar calculations and final answer to the nearest whole dollar amount.

Depreciation is an accounting technique used to stretch out the cost of tangible assets throughout…

Way Corporation disposed of the following tangible personal property assets in the current year. Date Acquired 5/12/19 Original Basis $ 55,000 3/23/20 72,000 9/17/21 20,000 270,000 80,000 Asset Furniture (7-year) Machinery (7-year) Delivery truck* (5-year) Machinery (7-year) Computer (5-year) *Used 100 percent for business. Assume that the delivery truck is not a luxury auto. Calculate Way Corporation's 2023 depreciation deduction (ignore §179 expens and bonus depreciation for this problem). (Use MACRS Table 1. Table 2, and Exhibit 10-6.) Note: Round your intermediate dollar calculations and final answer to the nearest whole dollar amount. Depreciation deduction Date Sold 7/15/23 3/15/23 3/13/23 8/11/23 12/15/23 10/11/22 10/11/23 Convention HY 38381 MQ HY MQ HY

Way Corporation disposed of the following tangible personal property assets in the current year. Date Acquired 5/12/19 Original Basis $ 55,000 3/23/20 72,000 9/17/21 20,000 270,000 80,000 Asset Furniture (7-year) Machinery (7-year) Delivery truck* (5-year) Machinery (7-year) Computer (5-year) *Used 100 percent for business. Assume that the delivery truck is not a luxury auto. Calculate Way Corporation's 2023 depreciation deduction (ignore §179 expens and bonus depreciation for this problem). (Use MACRS Table 1. Table 2, and Exhibit 10-6.) Note: Round your intermediate dollar calculations and final answer to the nearest whole dollar amount. Depreciation deduction Date Sold 7/15/23 3/15/23 3/13/23 8/11/23 12/15/23 10/11/22 10/11/23 Convention HY 38381 MQ HY MQ HY

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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Garcia Company owns equipment that cost $78,400, with accumulated depreciation of $41,600. Record the sale of the equipment under the following three separate cases assuming Garcia sells the equipment for (1) $48,200 cash, (2) $36,800 cash, and (3) $31,700 cash.
Chaz Corporation has taxable income in 2023 of $1,312,250 for purposes of computing the §179 expense and acquired the following assets during the year: Placed in Asset Office furniture Computer equipment Delivery truck Qualified real property (MACRS, 15 year, 150% DB) Total Service September 12 February 10 August 21 September 30 Basis $ 790,000 940,000 78,000 1,509,000 $ 3,317,000 What is the maximum total depreciation deduction that Chaz may deduct in 2023? (Use MACRS Table 1, Table 2, Table 3, Table 4, and Table 5.) Note: Round your intermediate calculations and final answer to the nearest whole dollar amount. Maximum total depreciation deduction
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Cayden Purchased the following for his rental real estate business: An apartment building; he paid $103,500 for the building ( not including the value of the land). Furniture for $8,649. Pickup truck for $27,500, used for 75% business. What is Cayden's total unadjusted basis immediately after acquisition (UBIA) of these assets? 1) $29,274 2) $112,149 3) $132,774 4) $139,649
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Evergreen Corporation (calendar-year-end) acquired the following assets during the current year: (ignore §179 expense and bonus depreciation for this problem): (Use MACRS Table 1 and Table 2.) 2018 Asset Machinery Computer equipment Used delivery truck* Furniture Date Placed in Service October 25 February 3 August 17 April 22 $ Original Basis 102,000 34,000 47,000 190,000 *The delivery truck is not a luxury automobile a. What is the allowable MACRS depreciation on Evergreen's property in the current year assuming Evergreen does not elect §179 expense and elects out of bonus depreciation? (Round your intermediate calculations to the nearest whole dollar amount.) b. What would be the allowable MACRS depreciation on Evergreen's property in the current year if Evergreen does not elect out of bonus depreciation?