20. Fill-in-the-Form: Prepare Form 4562, Depreciation and Amortization, for James Hamilton using the information provided.

James E. Hamilton (SSN 556-84-5502) is a sole proprietor. During 2015, he placed in service the following property:

April 14: Used machine costing $ 20,000

July 14: New computer costing 2,500

October 29: Nonresidential realty (building) 150,000

James does not want to elect Section 179 expense in 2015. However, he wants to depreciate the property using both the DDB Half year method of depreciation. The real estate is MM convention so it is 2.5 months for 2015.

In addition to the three properties listed above, James is depreciating office furniture he purchased in April of 2013 for $12,000. James took DDB HY method for depreciation in 2013 so this is year 3 of the 7 year life for the furniture.

21. What line no. is deprecation on Schedule C? _______

22. Assume it is 2016 which is Year 2. What are the depreciation amounts for the assets placed in service in year 2015?

MACRS for 2016

Machine__________

Computer_________

Building__________