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Convers Corporation (calendar year-end) acquired the following assets during the current tax year: (ignore 179 expense and bonus depreciation for this problem): (Use MACRS Table

Convers Corporation (calendar year-end) acquired the following assets during the current tax year: (ignore 179 expense and bonus depreciation for this problem): (Use MACRS Table 1, Table 2 and Table 5.)

Asset Date Placed in Service Original Basis
Machinery October 25 $ 120,000
Computer equipment February 3 60,000
Delivery truck* March 17 73,000
Furniture April 22 200,000
Total $ 453,000

*The delivery truck is not a luxury automobile.

In addition to these assets, Convers installed qualified real property (MACRS, 15 year, 150% DB) on May 12 at a cost of $800,000.

Problem 10-54 Part a (Algo)

a. What is the allowable MACRS depreciation on Convers's property in the current year assuming Convers does not elect 179 expense and elects out of bonus depreciation?

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