An asset (not an automobile) put in service in June 2019 has a depreciable basis of $535,000 and a recovery period of 5 years. Assuming bonus depreciation is used, a half-year convention, and no expensing election, what is the maximum amount of cost that can be deducted in 2019?
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- An asset (not an automobile) put in service in June 2020 has a depreciable basis of $1,055,000, a recovery period of 5 years, and is the only asset placed in service during the year. Assuming bonus depreciation is used, a half-year convention, and the expensing election is made, what is the maximum amount of cost that can be deducted in 2020 (assume no income limitation)? a.$1,035,000 b.$1,040,000 c.$211,000 d.$500,000 e.$1,055,000An asset (not an automobile) placed in service in June 2022 has a depreciable basis of $2,710,000, has a recovery period of 5 years, and is the only asset placed in service during the year. Assuming bonus depreciation is not used, a half-year convention is used, and the expensing election is made for the maximum eligible amount, what is the amount of cost that can be deducted in 2022 assuming the business earned taxable income of $1,000,000 before deducting any cost recovery on the asset? a.$407,000 b.$1,000,000 c.$500,000 d.$1,407,000 Only typing answer Please explain step by stepAn asset is placed in service on May 15, 2022, and has a depreciable basis of $40,000. The asset is in the 7-year recovery class, and the half-year convention applies. What is the maximum depreciation deduction that may be claimed for 2022, assuming no election to expense and no bonus depreciation?
- Sandstorm Corporation decides to develop a new line of paints. The project begins in 2018. Sandstorm incurs the following expenses in 2018 in connection with the project:Salaries: $85,000Materials: $30,000Depreciation on equipment: $12,500The benefits from the project will be realized starting in July 2019. If an amount is zero, enter "0".If Sandstorm Corporation elects a 60-month deferral and amortization period, there is a $ for 2018 and a $ deduction for 2019.An asset (not an automobile) placed in service in June 2021 has a depreciable basis of $35,000 and a recovery period of 5 years. Assuming bonus depreciation is used, a half-year convention, and no expensing election, what is the maximum amount of cost that can be deducted in 2021? Oa. $24,500 Ob. $17,500 Oc. $21,000 Od. $35,000 'e. $7,000A company purchases equipment for $40,000 on Aug 1, 2019. It estimates that the equipment will have a salvage value of 4,000 and its useful life will be 9 years. It is the company’s policy to charge a full years depreciation on the year of purchase and no depreciation charge on the year of disposal. Assuming that the company's accounting year ends on December 31 of each year, what will be the Depreciation Expense for the years 2020 assuming straight-line depreciation?
- An asset (not an automobile) placed in service in June 2021 has a depreciable basis of $35,000 and a recovery period of 5 years. Assuming bonus depreciation is used, a half-year convention, and no expensing election, what is the maximum amount of cost that can be deducted in 2021? Oa. $24,500 Ob. $17,500 Oc. $21.000 Od. $35,000 Oe. $7,000On May 15, 2020, an asset with a depreciable basis of $40,000 is put into service. The half-year convention is in effect since the asset belongs to the 7-year recovery class. What is the highest amount of depreciation that can be written off in 2020, assuming no bonus depreciation and no election to expense? a. $5,144 b. $5,716 c. $25,000 d. $2,572 d. None of these options is the best one.Suppose that a company purchases a computer to be used in the manufacturing department at the beginning of 2019. The price paid is 4.800 TL. The useful life of the computer is 4 years. Let's assume that the company employs accelerated method of depreciation in annual terms. What would be the journal entry regarding the depreciation at the end of 2019? What if the company switches to the straight-line method at the beginning of 2020? What would be the journal entry regarding the depreciation at the end of 2020 then?
- Brookins Enterprises, a trucking company, purchased the following during 2019: New long-haul trucks costing $2,080,000, purchased September 23, 2020. How much is the maximum cost recovery deduction for 2019? Assuming they claimed the maximum in 2020, how much is deductible in 2023? Assuming the trucks were sold for $975,000 on September 23, 2023, how much is the 2023 cost recovery deduction? Answer the above questions if Brookins elects out of bonus depreciation and does not elect under §179. President’s used vehicle (2018 Subaru Ascent, an SUV weighing 6,001 pounds) costing $26,500. How much is the maximum cost recovery deduction for 2020, assuming the owners have adequate net income? Assuming they claimed the maximum in 2020, how much is deductible in 2022? Nonresidential real estate purchased for $875,000 ($165,000 assigned to land); placed in service May 18, 2020. How much is deductible in 2020? How much for 2029? How much for 2030 if the real estate is sold on January…Brookins Enterprises, a trucking company, purchased the following during 2019: New long-haul trucks costing $2,080,000, purchased September 23, 2020. How much is the maximum cost recovery deduction for 2019? Assuming they claimed the maximum in 2020, how much is deductible in 2023? Assuming the trucks were sold for $975,000 on September 23, 2023, how much is the 2023 cost recovery deduction? Answer the above questions if Brookins elects out of bonus depreciation and does not elect under §179. President’s used vehicle (2018 Subaru Ascent, an SUV weighing 6,001 pounds) costing $26,500. How much is the maximum cost recovery deduction for 2020, assuming the owners have adequate net income? Assuming they claimed the maximum in 2020, how much is deductible in 2022? Nonresidential real estate purchased for $875,000 ($165,000 assigned to land); placed in service May 18, 2020. How much is deductible in 2020? How much for 2029? How much for 2030 if the real estate is sold on January…A corporation bought a machine for RP 8,000 with a commercial useful life of 4 years and a fiscal useful life of 3 years, but no salvage value, in early 2019. In both commercial and fiscal terms, machines are assembled utilizing the straight-line method. In addition, the company will receive Rp. 6,000 in 2019, with the warranty charge anticipated to be 10% of revenue. The warranty cost is due in fiscal year 2022. The general rate of taxation is 30%. Required: Calculate and explain the deferred tax asset or obligation for the two transactions at the end of 2019!