Answered step by step
Verified Expert Solution
Link Copied!

Question

00
1 Approved Answer

8.2 and automobile charts go with problem 8-10 and table 8.5 goes with problem 8-6. Thanks!! Problem 8-6 (Algorithmic) Modified Accelerated Cost Recovery System (MACRS)

8.2 and automobile charts go with problem 8-10 and table 8.5 goes with problem 8-6. Thanks!! image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Problem 8-6 (Algorithmic) Modified Accelerated Cost Recovery System (MACRS) (LO 8.2) On October 8,2022 , Holly purchased a residential apartment building. The cost basis assigned to the building is $263,300. Holiy also owns another fesidential apartment building that she purchased on January 15, 2022, with a cost basis of $138,000. Click here to access the depreclation tables. If required, round intermediate calculations and final answers to nearest dollar. a. Calculate Holly's total depreciation deduction for the apartments for 2022 using MMCRS. x Fentank cheskrwat b. Calculate Holly's total depreciation deduction for the apartments for 2023 using MACRS. x Problem 8-9 Modified Accelerated Cost Recovery System (MACRS) (LO 8.2) Calculate the following: Click here to acess the various depreciation tables. If required, round your final answers to the nearest dollar, If your answer is zero, enter " 0 ". a. The first year of depreciation on a ofice building that cost $250,000 purchased June 2,2022 . Problem 8-10 (Algorithmic) Modifled Accelerated Cost Recovery System (MACRS), Election to Expense, Listed Property, Limitation on Depreciation of Luxury Automobiles (LO 8.2, 8.3, 8.4, 8.5) During 2022, William purchases the following capital assets for use in his catering business: Assume that Wiliam decides to use the election to expense on the baking equipment (and has adequate taxable income to cover the deduction) but not on the automobile, and he also uses the MACAS accelerated method to calculate depreciation but elects out of bonus depreciation. Click here to access the depreciation table and ellek here to access the annual automobile depreciation limitations. Calculate Willam's maximum depreciation deduction for 2022, assuming he uses the automoble 100 percent in his business. x TABLE 8.2 ACCELERATED DEPRECIATION FOR PERSONAL PROPERTY ASSUMING HA T FVV AR CONYTNTION IFOR PROPRRTY PI.ACRD IN SERVICE AFTER -s witen to suragut-nuc ucprociasus. ANNUAL AUTOMOBILE DEPRECLATION LIMITATIONS *Additional bonus deprociation of $8,000 is included in this amount. If bonus is elected out of, the limit is $11,200. Problem 8-16 (Algorithmic) Intangibles ( 108.6) Derek purchases a smail business from Art on August 30, 2022. He paid the following amounts for the business: a. How much of the $353,800 purchase price is for Section 197 intangible assets? b. What amount can Derek deduct on his 2022 tax return as Section 197 intangible amortization? If required, round the final answer to the nearest dollar. Use months, not days, in your computations. TABLE 8.5 STRAIGHT-LINE DEPRECIATION FOR REAL PROPERTY ASSUMING MIDMONTH CONVENTION* 27.5.YEAR RESIDENTIAL, REAL PROPERTY The applicable annual percentage is (use the column for the month in the first year the property is placed in service): 39-Year Nonresidential Real Property The applicable annual percentage is (use the column for the month in the first year the property is placed in service): "The official tables contain a separate row for each year. For ease of presentation, certain years are grouped together in these two tables. In some instances, this will produce a difference of 0.001 percent when compared with the official tables

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions