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MACRS (LO. 6) Rograin Corporation purchases turning lathes costing $1,073,000 and buses costing $975,000 in June of the current year. The lathes are 7- year
MACRS (LO. 6) Rograin Corporation purchases turning lathes costing $1,073,000 and buses costing $975,000 in June of the current year. The lathes are 7- year MACRS property, and the buses are 5-year MACRS property. Rograin does not want to claim bonus depreciation. a. Rograin's maximum Section 179 deduction is b. Assuming that Rograin deducts the maximum Section 179 expense, the depreciable basis of the lathes is depreciable basis of the buses is and the Feedback Note: Round all values to the nearest whole dollar. Refer to the MACRS Depreciation Table to answer the following question. c. If Rograin wants to maximize its cost recovery this year, how much first-year depreciation may it deduct in addition to the Section 179 deduction? Feedback
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