Question
Jack Reacher purchased a computer System (five-year property) on March 10, 2022, at a cost of $30,000. He also purchased a new executive Office desk
Jack Reacher purchased a computer System (five-year property) on March 10, 2022, at a cost of $30,000. He also purchased a new executive Office desk (seven-year property) on November 20, 2022, at a cost of $13,000. Mr. Reacher did not elect to expense either of the assets under 179, nor did he elect straight-line cost recovery. Jack takes additional first-year depreciation. Determine the cost recovery deduction for 2022 for these assets.
| a. | $7,858 | |
| b. | $9,586 | |
| c. | $21,915 | |
| d. | $43,000 |
In 2022, Scott Lang (ant man) placed in service a new SUV that cost $60,000 and has a gross vehicle weight of 6,300 lbs. The vehicle is used 60% for business and 40% for personal use. Determine Mr Lang's total cost recovery for 2022. Mr. Langi wants to use both 179 and additional first-year depreciation.
| a. | $7,200 | |
| b. | $27,000 | |
| c. | $28,800 | |
| d. | $36,000 |
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Auditing For Dummies
Authors: Maire Loughran
1st Edition
0470530715, 978-0470530719
