Hello, I need help with this problem please, I am stuck at the red X marks. I promise I will give thump-up.
Item Cost During 2019, Pepe Guardio purchases the following property for use in his calendar year-end manufacturing business: Date Acquired Manufacturing equipment (7 year) June 2 $40,000 Office furniture September 15 6,000 Office computer November 18 2,000 Passenger automobile (used 90 percent for business) May 31 54,000 Warehouse June 23 Building 165,000 Land 135,000 Pepe uses the accelerated depreciation method under MACRS and takes bonus depreciation. Complete Form 4562, Depreciation and Amortization to determine the depreciation expense. If required, round your answers to the nearest dollar. If an amount is zero, enter "0". Enter amounts as positive numbers. Part II Special Depreciation Allowance and Other Depreciation (Don't include listed property. See instructions.) 14 Special depreciation allowance for qualified property (other than listed property) placed in service during the tax year. See instructions 15 Property subject to section 168(f)(1) election. 16 Other depreciation (including ACRS). 14 15 16 h Residential rental 27.5 yrs. MM S/L property 27.5 yrs. MM S/L i Nonresidential real 06/19 165,000 39 yrs. MM S/L 2,295 property MM S/L Section C-Assets Placed in Service During 2019 Tax Year Using the Alternative Depreciation System S/L 20a Class life b 12-year 12 yrs. S/L 30 yrs. MM S/L 40 yrs. MM S/L C 30-year d 40-year Part IV Summary (See instructions.) 21 Listed property. Enter amount from line 28. 22 Total. Add amounts from line 12, lines 14 through 17, lines 19 and 20 in column (g), and line 21. Enter here and on the appropriate lines of your return. Partnerships and corporations-see instructions ........ 21 16,290 22 (h) (0) Depreciation deduction Elected section 179 cost use (a) (b) (c) (d) () (9) Basis for Business/ Type of property (list vehicles Date placed in Investment Cost or other depreciation Recovery Method/ first) service basis (business/ period Convention investment use percentage only) 25 Special depreciation allowance for qualified listed property placed in service during the tax year and used more than 50% in a qualified business use. See instructions. 25 26 Property used more than 50% in a qualified business use: % Passenger automobile 05/19 90 % 54,000 48,600 x 5 yrs. HY 16,290 0 27 Property used 50% or less in a qualified business use: % S/L S/L - 96 S/L- 28 Add amounts in column (h), lines 25 through 27. Enter here and on line 21, page 1 28 16,290 Item Cost During 2019, Pepe Guardio purchases the following property for use in his calendar year-end manufacturing business: Date Acquired Manufacturing equipment (7 year) June 2 $40,000 Office furniture September 15 6,000 Office computer November 18 2,000 Passenger automobile (used 90 percent for business) May 31 54,000 Warehouse June 23 Building 165,000 Land 135,000 Pepe uses the accelerated depreciation method under MACRS and takes bonus depreciation. Complete Form 4562, Depreciation and Amortization to determine the depreciation expense. If required, round your answers to the nearest dollar. If an amount is zero, enter "0". Enter amounts as positive numbers. Part II Special Depreciation Allowance and Other Depreciation (Don't include listed property. See instructions.) 14 Special depreciation allowance for qualified property (other than listed property) placed in service during the tax year. See instructions 15 Property subject to section 168(f)(1) election. 16 Other depreciation (including ACRS). 14 15 16 h Residential rental 27.5 yrs. MM S/L property 27.5 yrs. MM S/L i Nonresidential real 06/19 165,000 39 yrs. MM S/L 2,295 property MM S/L Section C-Assets Placed in Service During 2019 Tax Year Using the Alternative Depreciation System S/L 20a Class life b 12-year 12 yrs. S/L 30 yrs. MM S/L 40 yrs. MM S/L C 30-year d 40-year Part IV Summary (See instructions.) 21 Listed property. Enter amount from line 28. 22 Total. Add amounts from line 12, lines 14 through 17, lines 19 and 20 in column (g), and line 21. Enter here and on the appropriate lines of your return. Partnerships and corporations-see instructions ........ 21 16,290 22 (h) (0) Depreciation deduction Elected section 179 cost use (a) (b) (c) (d) () (9) Basis for Business/ Type of property (list vehicles Date placed in Investment Cost or other depreciation Recovery Method/ first) service basis (business/ period Convention investment use percentage only) 25 Special depreciation allowance for qualified listed property placed in service during the tax year and used more than 50% in a qualified business use. See instructions. 25 26 Property used more than 50% in a qualified business use: % Passenger automobile 05/19 90 % 54,000 48,600 x 5 yrs. HY 16,290 0 27 Property used 50% or less in a qualified business use: % S/L S/L - 96 S/L- 28 Add amounts in column (h), lines 25 through 27. Enter here and on line 21, page 1 28 16,290
