Check my v Last Chance Mine (LCM) purchased a coal deposit for $2,305,050. It estimated it would extract 18,150 tons of coal from the deposit . LCM mined the coal and sold it, reporting gross receipts of $118 million $4.5 million and $3.3 million for years 1 through 3, respectively. During years 1-3, LCM reported net income (loss) from the coal deposit activity in the amount of ($11,500). $737.500, and $647,500, respectively. In years 1-3, LCM actually extracted 19,150 tons of coal as follows: (Leave no answer blank. Enter zero if applicable. Enter your answers in dollars and not in millions of dollars.) Depletion (1) (2) (2)/(1) Tons Extracted per Year Tons of Coal Rate Year 1 Year 2 Year 3 18, 150 $2,305,050 2,300 11,350 5,500 Bass $127.00 b. What is LCM's percentage depletion for each year (the applicable percentage for coal is 10 percent)? Year Parcentago Depletion 1 2 Last Chance Mine (LCM) purchased a coal deposit for $2,305,050. It estimated it would extract 18,150 tons of coal from the deposit. LCM mined the coal and sold it, reporting gross receipts of $1.18 million, $4.5 million, and $3.3 million for years 1 through 3, respectively. During years 1-3, LCM reported net income (loss) from the coal deposit activity in the amount of ($11,500), $737,500, and $647,500, respectively. In years 1-3, LCM actually extracted 19,150 tons of coal as follows: (Leave no answer blank. Enter zero if applicable. Enter your answers in dollars and not in millions of dollars.) (1) Tons of Coal 18,150 (2) Basis $2,305,050 Depletion (2)/(1) Rate $127.00 Tons Extracted per Year Year 1 Year 2 Year 3 2,300 11,350 5,500 c. Using the cost and percentage depletion computations from parts (a) and (b), what is LCM's actual depletion expense for each year? Year Depletion Expense 1 2 3 Lina purchased a new car for use in her business during 2020. The auto was the only business asset she purchased during the year, and her business was extremely profitable. Calculate her maximum depreciation deductions (including 6179 expense unless stated otherwise) for the automobile in 2020 and 2021 (Lina doesn't want to take bonus depreciation for 2020 or 2021) in the following alternative scenarios (assuming half-year convention for all): (Use MACRS Table 1. Table 2. and Exhibit 10-10.) a. The vehicle cost $32,800, and business use is 100 percent (ignore $179 expense). Year Depreciation deduction 2020 2021 Lina purchased a new car for use in her business during 2020. The auto was the only business asset she purchased during the year, and her business was extremely profitable. Calculate her maximum depreciation deductions (including 5179 expense unless stated otherwise) for the automobile in 2020 and 2021 (Lina doesn't want to take bonus depreciation for 2020 or 2021) in the following alternative scenarios (assuming half-year convention for all): (Use MACRS Table 1. Table 2, and Exhibit 10-10.) b. The vehicle cost $84,000, and business use is 100 percent. Year Depreciation deduction 2020 2021 Required information [The following information applies to the questions displayed below.) Lina purchased a new car for use in her business during 2020. The auto was the only business asset she purchased during the year, and her business was extremely profitable. Calculate her maximum depreciation deductions (including 5179 expense unless stated otherwise) for the automobile in 2020 and 2021 (Lina doesn't want to take bonus depreciation for 2020 or 2021) in the following alternative scenarios (assuming half-year convention for all): (Use MACRS Table 1. Table 2, and Exhibit 10-10.) c. The vehicle cost $84,000, and she used it 80 percent for business Year Depreciation deduction 2020 2021