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A business purchases a depreciable capital asset with an initial installed cost of $125,000. The asset has a useful life of six (6) years, with

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A business purchases a depreciable capital asset with an initial installed cost of $125,000. The asset has a useful life of six (6) years, with no end-of-life salvage value. The asset is to be depreciated using MACRS with a recovery period of five (5) years. Compute the MACRS depreciation schedule (including depreciation amounts and book values) for Years 1-6. Assume that the half-year convention applies. [6 points]

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