6. Regardless of the GAAP depreciation method selected.. a. the maximum allowable depreciation over the asset's life is the same. b. the total accumulated depreciation at the end of the asset's life will equal the depreciable base. c. the total accumulated depreciation at the end of the asset's life cannot exceed the depreciable base. d. all of the above. On August 1 of the current year, a company with a December 31 year-end buys a nonresidential building for $600,000, which includes land 7. that costs $100,000. Under MACRS, depreciation for this year will be a. $14,766 b. $12,305 c. $5,778 d. $4,815 8. For the building in Question 7, depreciation in the 12th year will be . a.$15,384 b. $12,820 c.$642 d.$535 9. When MACRS, Table 1 depreciation for an auto or light SUV, pickup or van is in excess of annual IRS limits the excess depreciation a. is lost permanently. b. may be taken by extending the MACRS recovery period for one extra year. c. may be taken by extending the MACRS recovery period for as many years as are needed to depreciate the cost basis. d. may result in the auto being depreciated under a GAAP method. During 2016, your firm acquires a 5,000-lb. SUV for $30,000 and a 6,200-lb. SUV for $35,000. How much of a Section 179 deduction will 10. your firm take on each vehicle in 2016? a. $25,000 and $25,000 b. $0 and $25,000 c. $30,000 and $35,000 d. You cannot take a Sec. 179 deduction for SUVs. 212