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54. Dave claims depreciation expense on several assets used in his video and music business The IRS considers some as listed property requiring special reporting.

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54. Dave claims depreciation expense on several assets used in his video and music business The IRS considers some as listed property requiring special reporting. Which of the folowing is incorrectly included in items considered listed property? a) Office furniture b) Passenger automobile weighing 6,000 pounds or less c) Computer d) Video equipment 55. Dave may need to fie Form 4562, Depreciation and Amortization. Which of the following is incorrectly listed as a reason Form 4562 should be filed? Depreciation is claimed on property placed in service in a prior year Section 179 deduction is claimed Amortization of costs that began in the current year Depreciation is claimed on listed property a) b) c) d) 56. Shelly purchased the following assets for her business: Imaging machine Copier File cabinets $1,000 $2,000 S 300 $3,000 purchased 08/31/2016 purchased 10/19/2016 purchased 11/10/2016 purchased 12/05/2016 What convention would Shelly use to depreciate her assets? a) Haf-year convention b) Mid-month convention d) Mid-yea convention 57. Lance, the rental property owner, made several repairs/replacements this year and must decide whether they should be depreciated. Which of the following condtions is not a determining factor in deciding when repairs and replacements should be depreciated? a) b) c) d) Increase the value of a property Make the property more useful Lengthen the life of the property Cost of the repainreplacement exceeds $2,500 58. Tom is a salesman who started using a home office on 01/01/2004. He claims depreciation expense on his tax return. What is the class life for Tom's home office? a) 39 years b) 31.5 years c) 27.5 years d) 20 years 59. What convention would Tom use in his calculation of depreciation? a) Haf-year b) Mid-month c) Mid-quarter

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