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Posted on Jul 17, 2024

At the beginning of the current year, Poplock began a calendar-year dog boarding business called Griff's Palace. Poplock bought and placed in service the following

At the beginning of the current year, Poplock began a calendar-year dog boarding business called Griff's Palace. Poplock bought and placed in service the following assets during the years Asset Date Acquired Cost Basis Computer equipment 3/23 $ 8,490 Dog-grooming furniture 5/12 10,400 Pickup truck 9/17 10,000 Commercial building 10/11 304,000 Land (one acre) 10/11 114,000 Assuming Poplock does not elect $179 expensing and elects not to use bonus depreciation, answer the following questions: (Use MACRS Table 1. Table 2. Table 3. Table 4 and Table 5.) (Do not round Intermediate calculations. Round your final answers to the nearest whole dollar amount. Leave no answer blank. Enter zero if applicable.) a. What is Poplock's year 1 depreciation deduction for each asset? Depreciation Deduction Asset Computer equipment Dog-grooming fumlture Pickup truck Commercial building Land (one acre) Total Table 1 MACRS Half-Year Convention 20-Year 3.750% Year 1 7.219 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Depreciation Rate for Recovery Period 3-Year 5-Year 7-Year 10-Year 15-Year 33.33% 20.00% 14.29% 10.00% 5.00% 44.45 32.00 24.49 18.00 9.50 14.81 19.20 17.49 14.40 8.55 7.41 11.52 12.49 11.52 7.70 11.52 8.93 9.22 6.93 5.76 8.92 7.37 6.23 8.93 6.55 5.90 4.46 6.55 5.90 6.56 5.91 6.55 5.90 3.28 5.91 5.90 6.677 6.177 5.713 5.285 4.888 4.522 4.462 4.461 Year 9 Year 10 4.462 4.461 4.462 5.91 4.461 Year 11 Year 12 Year 13 Year 14 Year 15 Year 16 Year 17 Year 18 Year 19 Year 20 Year 21 5.90 5.91 2.95 4.462 4.461 4.462 4.461 4.462 4.461 2.231 TABLE 2a MACRS Mid-Quarter Convention: For property placed in service during the first quarter Depreciation Rate for Recovery Period 5-Year 7-Year Year 1 35.00% 25.00% Year 2 26.00 21.43 Year 3 15.60 15.31 Year 4 11.01 10.93 Year 5 11.01 8.75 Year 6 1.38 8.74 Year 7 8.75 Year 8 1.09 TABLE 26 MACRS Mid-Quarter Convention: For property placed in service during the second quarter Depreciation Rate for Recovery Period 5-Year 7-Year Year 1 25.00% 17.85% Year 2 30.00 23.47 Year 3 18.00 16.76 Year 4 11.37 11.97 Year 5 11.37 8.87 Year 6 4.26 8.87 Year 7 8.87 Year 8 3.34 TABLE 2 MACRS Mid-Quarter Convention: For property placed in service during the third quarter Depreciation Rate for Recovery Period 5-Year 7-Year Year 1 15.00% 10.71% Year 2 34.00 25.51 Year 3 20.40 18.22 Year 4 12.24 13.02 Year 5 11.30 9.30 Year 6 7.06 8.85 Year 7 8.86 Year 8 5.53 TABLE 2d MACRS-Mid Quarter Convention: For property placed in service during the fourth quarter Depreciation Rate for Recovery Period 5-Year 7-Year Year 1 5.00% 3.57% Year 2 38.00 27.55 Year 3 22.80 19.68 Year 4 13.68 14.06 Year 5 10.94 10.04 Year 6 9.58 8.73 Year 7 8.73 Year 8 7.64 TABLE 3 Residential Rental Property Mid-Month Convention Straight Line-275 Years Month Property Placed in Service Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Year 1 3.4859 3.1823 2879 2.576% 2.27394 1.970% 1.667% Year 2.9 3.636 3.636 3.636 3.636 3.636 3.636 3.636 Year 10 3.637 3637 3.637 3.637 3.637 3.637 3.636 Year 11 3.636 3636 3,636 3,636 3.636 3.636 3.637 Year 12 3,637 3637 3.637 3,637 3.637 3.637 3.636 Year 13 3,636 3,636 3.636 3.636 3.636 3.636 3.637 Year 14 3.637 3.637 3.637 3,637 3.637 3.637 3.636 Year 15 3.636 3.636 3.636 3.636 3.636 3.636 3.637 Year 16 3.637 3.637 3.637 3.637 3,637 3.637 3.636 Year 17 3.636 3636 3.636 3.636 3.636 3.636 3.637 Year 18 3.637 3.637 3.637 3.637 3.637 3.637 3.636 Year 19 3.636 3.636 3.636 3.636 3.636 3.637 Year 20 3.637 3.637 3.637 3.637 3,637 3.637 3.636 Year 21 3.636 3636 3.636 3636 3.636 3.636 3.637 Year 22 3.637 3.637 3637 3.637 3.637 3.637 3.636 Year 23 3.636 3.636 3.636 3.636 3636 3.636 3.637 Year 24 3.637 3.637 3.637 3.637 3.637 3637 3636 Year 25 3.636 3.636 3.636 3.636 3.636 3636 3.637 Year 26 3.637 3.637 3.637 3,637 3.637 3.637 Year 27 3.636 3.636 3.636 3.636 3.636 3.636 3637 Year 28 197 2.273 2576 2879 3.182 3.485 3.636 Year 29 0.152 Month 8 1.3645 3.636 3.636 3.637 3.636 3.637 3.636 3.637 3.636 3.637 3.636 3,637 3.636 3637 3.636 3637 3.636 3.637 3616 3617 3.636 0455 Month 9 Month 10 Month 11 Month 12 1.0615 0.758% 0.4559 0.152 3.636 3.636 3.636 3.636 3636 3.636 3.636 3.636 3.637 3.637 3,637 3.637 3.636 3.636 3.636 3.636 3.637 3,637 3,637 3.637 3.636 3.636 3.636 3.636 3637 3.637 3637 3.637 3.636 3.636 3.636 3.636 3.637 3.637 3637 3637 3.636 3.636 3.636 3.636 3.637 3.637 3.637 3.637 3.636 3.636 3636 3.636 3.637 3.637 3.637 3.636 3.636 3.636 3.636 3.637 3.637 3.637 3637 3636 3.636 3.636 3.616 3637 3.637 1637 3.637 3636 3636 3636 3636 3617 1637 1637 3.636 3.636 3.636 3.636 0.758 1.061 1366 1667 3636 E E Month 10 3.174 Month 11 0.3979 3.175 3.175 3:174 3.175 3.174 3.175 1.174 1.175 TABLE 4 Nonresidential Real Property Mid-Month Convention Straight Line-315 Years (for assets placed in service before May 13, 1993) Month Property Placed in Service Month 1 Month 2 Month Month 4 Months Month Month 7 Months Month 9 Year 3.0429 2.778 2.5139 2249 1984 1.7203 1455% 1.1905 Year 2.7 0.9264 3.175 3.175 3.175 3.175 3.175 3.175 3.175 3.125 3.175 Year 8 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3.175 3.175 Year 9 3.174 3.175 3.174 3.175 3.174 3.175 3.174 Year 10 3.175 3.174 3.175 3.175 3.174 3.175 3.174 3.175 3.174 3.175 Year 11 3:174 3.175 3.174 3:175 3.174 3.175 3.174 3.175 3.174 Year 12 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3.174 3.175 Year 13 3.174 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3.174 Year 14 3.175 3.174 3.175 3.175 3.174 3.175 3.174 3.175 Year 15 3.174 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3174 Year 16 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3.174 3.175 Year 17 3.174 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3.174 Year 18 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3.174 3.175 Year 19 3.174 3.175 3.174 3.175 3.174 3.175 3.174 3.125 3 174 Year 20 3.175 3.174 3.175 3.174 3.175 1174 3.175 3.174 3.175 Year 21 3.194 3.175 3.174 3175 3.174 3.175 3.174 3.175 3.174 Year 22 3.175 3.174 3.175 3.174 3.175 3.174 3.125 3.174 3.175 Year 23 3.174 3.175 3.174 3.175 3.174 3.175 2.174 1.17 Year 24 3.175 3.174 3.125 3.174 3.175 3.174 3.175 3.174 3175 Year 25 3.174 3.125 3.174 3.175 3.194 3.174 3.175 3.174 Year 26 3.175 3.174 3.175 3.174 3.175 3.175 3:14 3.175 Year 27 3.174 3.125 3.174 3.175 3174 3.175 3.174 3.174 Year 3.175 3.174 3.175 3174 3.175 114 3125 3.174 3.173 Year 29 3174 3.175 3.174 2174 1125 3.174 1.175 PIE Month 12 0.132 3.175 3.175 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3.174 1.175 3.174 3.175 0.661 3.175 3.195 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3194 3.175 3.174 3.175 3.174 1.175 3.174 3.175 3.174 3.175 317 3175 3.174 1173 PIE SZE 1174 3.175 3.175 3.174 3.175 1.174 3.175 3.174 3.175 3.174 1135 3.174 175 117 SIT 3.174 1135 3:14 3:25 SZIE PLIE SLEE 3.175 3.17 3124 3.125 1.194 TABLE 5 Nonresidential Real Property Mid-Month Convention Straight Line-Years for assets placed in service on or after May 13, 1993) Month Property Placed in Service Month Month Month 3 Month 4 Month 5 Mooth Month 7 Month Month Year 24614 2.347 2.03.10 18194 1605 1.391 L1778 0.963 07498 Year 3:39 2564 2.564 2564 2564 2564 2564 2.54 2.564 2564 Year 40 0.107 0.321 0.535 0.749 0963 1.177 1.391 1.00 1.819 Month 10 05357 2564 2033 Mooth 11 0.32150 2544 2247 Month 12 0.101 564 2461