Question
Baker, Inc., purchases office furniture (7-year MACRS property) costing $1,011,000 and a computer system (5-year MACRS property) costing $1,011,000 in 2018. Assume that Baker elects
Baker, Inc., purchases office furniture (7-year MACRS property) costing $1,011,000 and a computer system (5-year MACRS property) costing $1,011,000 in 2018.
Assume that Baker elects not to claim bonus depreciation.
Refer to the MACRS Depreciation Table to answer the following question.
Hint: Maximize the Section 179 election effect.
Note: Round all values to the nearest whole dollar.
The maximum cost-recovery deduction in 2018 is $
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Corporate Financial Accounting
Authors: Carl S. Warren, James M. Reeve, Jonathan E. Duchac
12th edition
1305041399, 1285078586, 978-1-133-9524, 9781133952428, 978-1305041394, 9781285078588, 1-133-95241-0, 978-1133952411
