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Lina bought a new vehicle at the beginning of 2022 at a cost of $20,000, Lina did not elect to expense the vehicle under Sec.
Lina bought a new vehicle at the beginning of 2022 at a cost of $20,000, Lina did not elect to expense the vehicle under Sec. 179 or take bonus depreciation. The vehicle is not subject to listed property limitations. The depreciable life of this vehicle is 5 years, and Lina uses MACRS to calculate the depreciation for income tax purposes. Lina sold the vehicle on December 31, 2023, for $18,000. There were no other vehicle or equipment purchases in 2022 The applicable IRS standard mileage rate for business use was 58.5 cents per mile for January 1, 2022 through June 30, 2022; 62.5 cents per mile for July 1, 2022 through December 31, 2022; and 65.5 cents per mile in 2023. For each item, enter the appropriate amount for 2023 in the associated cell. If the amount is zero, enter a zero (0). Enter all amounts as positive whole numbers. For any depreciation calculations, use the MACRS tables provided in the exhibits. What is the depreciation deduction? What is the remaining basis? What is the gain on sale?
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