Question
Dains Diamond Bit Drilling purchased the following assets this year. Asset Purchase Date Original Basis Drill bits (5-year) January 19 $ 120,500 Drill bits (5-year)
Dains Diamond Bit Drilling purchased the following assets this year. |
Asset | Purchase Date | Original Basis | |
Drill bits (5-year) | January 19 | $ | 120,500 |
Drill bits (5-year) | August 15 | 139,750 | |
Commercial building | May 12 | 313,000 | |
|
Assume its taxable income for the year was $58,500 before deducting any 179 expense (assume no bonus depreciation but assume that the 2014 179 limits are extended to 2015). (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.)
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