Question
In 2006, your company purchased a front-end loader for 150,000, a dump truck for 85,000, and a dumping trailer (pup) for the dump truck for
In 2006, your company purchased a front-end loader for 150,000, a dump truck for 85,000, and a dumping trailer (pup) for the dump truck for 38,000. In 2007, your company purchased two side-dump trailers for 65,000 each and two tractors to pull the side-dump trailers for 68,000 each. In December of 2008, your company purchased a dump truck for 87,000. Determine the depreciation allowed for tax purposes for the 2008 tax year. The tax year runs from January to December.
Hint: The tractors have a different recovery period than the rest of the equipment.
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Managerial Accounting
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
13th Edition
978-0073379616, 73379611, 978-0697789938
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