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A piece of newly purchased industrial equipment costs $1,130,000 and is classified as seven-year property under MACRS (MACRS Schedule). Calculate the annual depreciation allowances and
A piece of newly purchased industrial equipment costs $1,130,000 and is classified as seven-year property under MACRS (MACRS Schedule). Calculate the annual depreciation allowances and end-of-the-year book values for this equipment.
Note: Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32. Leave no cells blank. Enter "0" when necessary.
Table 9.7 Modified ACRS depreciation allowances
Year | Property Class | ||
---|---|---|---|
3-Year | 5-Year | 7-Year | |
1 | 33.33% | 20.00% | 14.29% |
2 | 44.45 | 32.00 | 24.49 |
3 | 14.81 | 19.20 | 17.49 |
4 | 7.41 | 11.52 | 12.49 |
5 | 11.52 | 8.93 | |
6 | 5.76 | 8.92 | |
7 | 8.93 | ||
8 | 4.46 |
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