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Cramer Corporation, a calendar year C corporation, purchased and placed in service the following new assets on the following dates: Assume that Cramer Corporation (see
Cramer Corporation, a calendar year C corporation, purchased and placed in service the following new assets on the following dates: Assume that Cramer Corporation (see above) also purchased and placed in service a new office building for $2,000,000 on July 31, 2016. The land was allocated $500,000 and the building was allocated $1, 500,000 of the purchase price. Cramer Corporation plans to use the office building until October of 2020, when it will move to a larger office building. What is the maximum tax cost recovery deduction Cramer can take on the office building in 2016? Please show your work and explain your calculations. What is the maximum tax cost recovery deduction Cramer Corporation can take on the office building in 2017 through 2019? Please show your work and explain your calculations. What is the maximum tax cost recovery deduction Cramer Corporation can take on the office building in 2020, assuming it sells the office building on October 1, 2020? Please show your work and explain your calculations
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