Question
Assignment 7 Triton Industries acquires $400,000 of 7-year MACRS equipment in March 2022. Tritons tax director understands that there are three ways that Triton can
Assignment 7
Triton Industries acquires $400,000 of 7-year MACRS equipment in March 2022. Tritons tax director understands that there are three ways that Triton can recover the cost of the equipment: (1) expense it (2) bonus depreciation (3) regular depreciation.
REQUIRED:
Complete the following table (12 points)
Tax Year | Section 179 expense | Bonus Depreciation | Regular Depreciation |
2022 | |||
2023 |
YOU MUST show the computation of the regular depreciation WITHOUT using the percentage shown in the cost recovery tables. That is, you must show me how the cost recovery deduction is computed step-by-step.
For the bonus and the section 179
Is an election required for either, or both? 4 points
IF no elections are made which one is the default deduction? 4 points
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started