Modified Accelerated Cost Recovery System (MACRS) (LO 7.4)

Calculate the following:

Click here to access the various depreciation tables. If required, round your final answers to the nearest dollar.

a. The first year of depreciation on a residential rental building costing $200,000 purchased July 2, 2017. $

b. The second year depreciation on a computer costing $5,000 purchased in May 2016, using the half-year convention and accelerated depreciation. Bonus depreciation was taken in 2016. $

c. The first year of depreciation on a computer costing $2,800 purchased in May 2017, using the half-year convention and straight-line depreciation with no bonus depreciation. $

d. The third year of depreciation on business furniture costing $8,000 purchased in March 2015, using the half-year convention and accelerated depreciation but no bonus depreciation. $