On January 8 of year 1, Javier purchased a building, including the land it was on to assemble his new equipment The total cost of the purchase was $1,399,500 $322,000 was allocated to the basis of the land and the remaining $1,077,500 was allocated to the basis of the building (Use MACRS Table 1 Table 2 Table 3 Table 4 and Table 5) (Do not round intermediate calculations Round your answers to the nearest whole dollar amount ) a Using MACRS, what is Javier's depreciation deduction on the building for years 1 through 3 On January 8 of year 1, Javier purchased a building, including the land it was on, to assemble his new equipment The total cost of the purchase was $1,399,500, $322,000 was allocated to the basis of the land and the remaining $1,077,500 was allocated to the basis of the building (Use MACRS Table 1 Table 2 Table 3 Table 4 and Table 5) (Do not round intermediate calculations Round your answers to the nearest whole dollar amount ) b What would be the year 3 depreciation deduction if the building was sold on February 26 of year 3 On January 8 of year 1, Javier purchased a building, including the land it was on, to assemble his new equipment The total cost of the purchase was $1,399,500 $322,000 was allocated to the basis of the land and the remaining $1077,500 was allocated to the basis of the building (Use MACRS Table 1 Table 2 Table 3 Table and Table 5) (Do not round intermediate calculations Round your answers to the nearest whole dollar amount ) c Assume the building was purchased and placed in service on October 28 instead of January 8 Using MACRS, what is Javier's depreciation deduction on the building for years through 3 On January 8 of year 1, Javier purchased a building, including the land it was on, to assemble his new equipment The total cost of the purchase was $1,399,500 $322,000 was allocated to the basis of the land and the remaining $1,077,500 was allocated to the basis of the building (Use MACRS Table 1 Table 2 Table 3 Table 4 and Table 5 ) (Do not round intermediate calculations Round your answers to the nearest whole dollar amount ) d Assume the building is residential property Using MACRS, what is Javier's depreciation deduction on the building for years 1 through 3 On January 8 of year 1, Javier purchased a building including the land it was on, to assemble his new equipment The total cost of the purchase was $1 399,500 $322,000 was allocated to the basis of the land and the remaining $1,077,500 was allocated to the basis of the building (Use MACRS Table 1 Table 2 Table 3 Table 4 and Table 5) (Do not round intermediate calculations Round your answers to the nearest whole dollar amount ) e What would be the depreciation for 2020, 2021, and 2022 if the property were nonresidential property purchased and placed in service January 8, 2003 (assume the same original basis) Table 1 MACRS Half Year Convention 20 Year 3 750 7 219 6 677 6 177 5 713 5 285 4 888 4 522 Depreciation Rate for Recovery Period 3 Year 5 Year 7 Year 10 Year 15 Year Year 1 33 33 20 00 14 29 10 00 5 00 Year 2 44 45 32 00 24 49 18 00 9 50 Year 3 14 81 19 20 17 49 14 40 8 55 Year 4 7 41 11 52 12 49 11 52 7 70 Year 5 11 52 8 93 9 22 6 93 Year 6 5 76 8 92 7 37 6 23 Year 7 8 93 6 55 5 90 Year 8 4 46 6 55 5 90 Year 9 6 56 5 91 Year 10 6 55 5 90 Year 11 3 28 5 91 Year 12 5 90 Year 13 5 91 Year 14 5 90 Year 15 5 91 Year 16 2 95 Year 17 Year 18 Year 19 Year 20 Year 21 4 462 4 461 4 462 4 461 4 462 4 461 4 462 4 461 4 462 4 461 4 462 4 461 2 231 TABLE 2a MACRS Mid Quarter Convention For property placed in service during the first quarter Depreciation Rate for Recovery Period 5 Year 7 Year Year 1 35 00 25 00 Year 2 26 00 21 43 Year 3 15 60 15 31 Year 4 11 01 10 93 Year 5 11 01 8 75 Year 6 1 38 8 74 Year 7 8 75 Year 8 1 09 TABLE 26 MACRS Mid Quarter Convention For property placed in service during the second quarter Depreciation Rate for Recovery Period 5 Year 7 Year Year 1 25 00 17 85 Year 2 30 00 23 47 Year 3 18 00 16 76 Year 4 11 37 11 97 Years 11 37 8 87 Year 6 4 26 8 87 Year 7 8 87 Years TABLE 2c MACRS Mid Quarter Convention For property placed in service during the third quarter Depreciation Rate for Recovery Period 5 Year 7 Year Year 1 15 00 10 71 Year 2 34 00 25 51 Year 3 20 40 18 22 Year 4 12 24 13 02 Year 5 11 30 9 30 Year 6 7 06 8 85 Year 7 Year 8 8 86 5 53 TABLE 2d MACRS Mid Quarter Convention For property placed in service during the fourth quarter Depreciation Rate for Recovery Period 5 Year 7 Year Year 1 5 00 3 57 Year 2 38 00 27 55 Year 3 22 80 19 68 Year 4 13 68 14 06 Year 5 10 94 10 04 Year 6 9 58 8 73 Year 7 8 73 Year 8 7 64 3 637 TABLE 3 Residential Rental Property Mid Month Convention Straight Line 27 5 Years Month Property Placed in Service Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 Year 1 3 485 3 182 2 879 2 576 2 273 1 970 1 667 1 364 1 0619 0 758 0 455 0 1524 Year 2 9 3 636 3 636 3 636 3 636 3 636 3 636 3 636 3 636 3 636 3 636 3 636 3 636 Year 10 3,637 3 637 3 637 3 637 3 637 3 637 3 636 3 636 3 636 3 636 3 636 3 636 Year 11 3 636 3 636 3 636 3 636 3 636 3 636 3 637 3 637 3 637 3,637 3 637 Year 12 3 637 3 637 3 637 3 637 3 637 3 637 3 636 3 636 3 636 3 636 3 636 3 636 Year 13 3 636 3 636 3 636 3 636 3 636 3 636 3,637 3 637 3 637 3 637 3 637 3 637 Year 14 3 637 3 637 3 637 3 637 3 637 3 637 3 636 3 636 3 636 3 636 3 636 3 636 Year 15 3 636 3 636 3 636 3 636 3 636 3 636 3 637 3 637 3 637 3 637 3 637 3,637 Year 16 3 637 3 637 3 637 3 637 3 637 3 637 3 636 3 636 3 636 3 636 3 636 3 636 Year 17 3 636 3 636 3 636 3 636 3 636 3 636 3 637 3 637 3 637 3 637 3 637 3 637 Year 18 3 637 3 637 3 637 3 637 3 637 3 637 3 636 3 636 3 636 3 636 3 636 3 636 Year 19 3 636 3 636 3 636 3 636 3 636 3 636 3 637 3 637 3 637 3 637 3 637 3 637 Year 20 3 637 3 637 3 637 3 637 3 637 3 637 3 636 3 636 3 636 3 636 3 636 Year 21 3 636 3 636 3 636 3 636 3 636 3 636 3 637 3 637 3 637 3 637 3 637 3 637 Year 22 3 637 3 637 3 637 3 637 3 637 3 637 3,636 3 636 3 636 3 6 36 3 636 3 636 Year 23 3 636 3 636 3 636 3 636 3 636 3 636 3 637 3 637 3 637 3 637 3 637 3 637 Year 24 3 637 3 637 3 637 3 637 3 637 3,637 3 636 3 636 3 636 366 3 16 Year 25 3 636 3 636 3 636 3 636 3 636 1 636 3 637 3 637 3 637 3 637 3 637 3637 Year 26 3 637 3 637 3 637 3 637 3 637 3 637 3 636 3 636 3 636 3 636 3 636 3 636 Year 27 3,636 3 636 3 636 3 630 3 636 3 636 3 637 3 637 3 637 1 637 3 637 Year 28 1 97 2 273 2 576 2 579 3 485 3 636 3 636 3 636 3 636 3 036 Year 29 0 152 0 435 0 758 1 061 1 667 3 636 2 636 Month 10 0 661 3 175 3 175 3 175 3 174 1 175 3 174 3 175 3 174 3 175 3 174 Month 11 0 39794 3 175 3 173 3 174 3 175 3 174 3 175 174 3 175 3 174 3 175 Month 12 0 1324 3 175 3 173 3 175 3 174 3 175 3 174 3,175 3 174 3 175 3 174 3 175 3 175 TABLE 4 Naamidential Real Property Md Month Convention Straight Line 31 5 Years (for assets placed in service before May 13, 1993) Month Property Placed in Service Mouth 1 Mouth 2 Month 3 Month 4 Month 5 Month 6 Month 7 Montb Mouth Year 1 3 04296 2 7784 2 513 2 49 1 984 1 720 149596 1 1909 0 9269 Year 2 7 3 175 3 175 3 195 3 175 3 175 3 175 3 175 3 175 3 125 Years 3 175 3 174 1174 3 174 3 175 3 174 3 175 3 175 3 175 Year 3 174 3 175 3 174 3 175 3 174 3 175 3 194 3 175 3 174 Year 10 3 175 3074 3 175 3 174 3 175 2 174 3 175 3 174 3 175 Year 11 3 174 3 175 3 114 3 175 3 174 1 175 3 174 3 175 3 194 Year 12 3175 3 174 3 175 3 194 3 175 3 174 3 175 3 174 3 175 Year 13 3 174 3 175 2174 3 195 3 174 3 175 3 174 3 175 J 144 Year 14 3 175 3 194 3 175 3 174 3 174 3 174 3 175 Year 15 3 194 3 175 3 174 3 175 J 174 3 175 3 174 3175 3 174 Year 16 3 175 3 174 3 175 3 174 3 175 3 174 2175 3 174 3 175 Ver 17 3 174 3 175 3 174 3 175 3 174 3 175 3 174 3 175 J 174 Year is 3 119 2 174 32 175 1194 175 3 174 1175 3195 Year 1 2 174 3 175 3 174 3 175 3 175 3 174 3 173 3 114 Year 20 3 174 3 179 3 174 3 194 1 174 1 175 Year 21 3 174 1 175 1 174 3 175 3 174 3 179 3 174 3 17 3 174 Year 22 175 3 179 3 174 3 175 3 174 3 125 3 174 3 175 Year 13 3 174 1 175 3 194 3 175 3 175 3174 3 113 3 174 Year24 3 175 3 174 2 175 3 174 3 175 3 17 3 174 3 175 Year 26 178 2 175 3 170 2 175 IN 3 194 3 175 3 14 Year 36 1 175 3 195 3 175 3 174 3 179 3 174 3 195 Year 17 2114 3 175 3 194 3 195 3,194 3 195 11 3 175 174 3 174 3 174 3 174 3195 3 17 3 175 Year 19 1 174 3 175 3 174 3 175 2 174 3 175 3 17 3 175 11 Year 38 3 174 3 17 174 3 175 1174 3 175 3 174 X,175 Year 31 3174 175 3 174 3 175 3 174 3 175 3 174 175 3 174 Year 30 1 720 1 9 2 513 2 775 3 02 3 175 1174 Year 0307 PALE 174 3 198 179 3 LT 3 175 2174 3 175 31174 3 175 3 174 3 175 J 174 3 175 3 174 3 175 3 194 PIK 3 173 174 3 175 3 144 3 175 3 174 3 175 3 174 3 175 117 3 175 2 11 2 175 2 174 3 175 3 174 175 3 174 0 9 20 IN 195 194 3 175 3 17 2 1 1174 IM 3 179 3 174 2175 3 17 HITS 1 194 3 175 3 114 1 455 1990 TABLE 5 Norridential Real Property Mid Month Convention Straight line 39 Years for assets placed in service ca er after May 13, 1993) Mooth Property Placed in Service Month Mewth 2 Month Meth Month Month 6 Month Month Month Year 2 461 2 3475 20336 1 1946 16096 1 39196 1 179 090396 0 120 Year 2 39 2 564 2 461 2564 2564 2 864 2564 2564 Vear 40 0 107 0321 05 0 700 0 00 1 177 1991 1 00 1 810 Month 10 Mouth 11 01219 2 561 Mouth 12 0107 3 564 2461 2050 2 554 2 564 2013

Question

On January 8 of year 1, Javier purchased a building, including the land it was on to assemble his new equipment  The total cost of the purchase was $1,399,500  $322,000 was allocated to the basis of the land and the remaining $1,077,500 was allocated to the basis of the building  (Use MACRS Table 1  Table 2  Table 3  Table 4 and Table 5) (Do not round intermediate calculations  Round your answers to the nearest whole dollar amount ) a  Using MACRS, what is Javier's depreciation deduction on the building for years 1 through 3  On January 8 of year 1, Javier purchased a building, including the land it was on, to assemble his new equipment  The total cost of the purchase was $1,399,500, $322,000 was allocated to the basis of the land and the remaining $1,077,500 was allocated to the basis of the building (Use MACRS Table 1  Table 2  Table 3  Table 4 and Table 5) (Do not round intermediate calculations  Round your answers to the nearest whole dollar amount ) b  What would be the year 3 depreciation deduction if the building was sold on February 26 of year 3  On January 8 of year 1, Javier purchased a building, including the land it was on, to assemble his new equipment  The total cost of the purchase was $1,399,500 $322,000 was allocated to the basis of the land and the remaining $1077,500 was allocated to the basis of the building (Use MACRS Table 1  Table 2  Table 3  Table and Table 5) (Do not round intermediate calculations  Round your answers to the nearest whole dollar amount ) c  Assume the building was purchased and placed in service on October 28 instead of January 8  Using MACRS, what is Javier's depreciation deduction on the building for years through 3  On January 8 of year 1, Javier purchased a building, including the land it was on, to assemble his new equipment  The total cost of the purchase was $1,399,500 $322,000 was allocated to the basis of the land and the remaining $1,077,500 was allocated to the basis of the building (Use MACRS Table 1  Table 2  Table 3  Table 4 and Table 5 ) (Do not round intermediate calculations  Round your answers to the nearest whole dollar amount ) d  Assume the building is residential property  Using MACRS, what is Javier's depreciation deduction on the building for years 1 through 3  On January 8 of year 1, Javier purchased a building including the land it was on, to assemble his new equipment The total cost of the purchase was $1 399,500  $322,000 was allocated to the basis of the land and the remaining $1,077,500 was allocated to the basis of the building (Use MACRS Table 1  Table 2  Table 3  Table 4 and Table 5) (Do not round intermediate calculations  Round your answers to the nearest whole dollar amount ) e  What would be the depreciation for 2020, 2021, and 2022 if the property were nonresidential property purchased and placed in service January 8, 2003 (assume the same original basis)  Table 1 MACRS Half Year Convention 20 Year 3 750  7 219 6 677 6 177 5 713 5 285 4 888 4 522 Depreciation Rate for Recovery Period 3 Year 5 Year 7 Year 10 Year 15 Year Year 1 33 33  20 00  14 29  10 00  5 00  Year 2 44 45 32 00 24 49 18 00 9 50 Year 3 14 81 19 20 17 49 14 40 8 55 Year 4 7 41 11 52 12 49 11 52 7 70 Year 5 11 52 8 93 9 22 6 93 Year 6 5 76 8 92 7 37 6 23 Year 7 8 93 6 55 5 90 Year 8 4 46 6 55 5 90 Year 9 6 56 5 91 Year 10 6 55 5 90 Year 11 3 28 5 91 Year 12 5 90 Year 13 5 91 Year 14 5 90 Year 15 5 91 Year 16 2 95 Year 17 Year 18 Year 19 Year 20 Year 21 4 462 4 461 4 462 4 461 4 462 4 461 4 462 4 461 4 462 4 461 4 462 4 461 2 231 TABLE 2a MACRS Mid Quarter Convention  For property placed in service during the first quarter Depreciation Rate for Recovery Period 5 Year 7 Year Year 1 35 00  25 00  Year 2 26 00 21 43 Year 3 15 60 15 31 Year 4 11 01 10 93 Year 5 11 01 8 75 Year 6 1 38 8 74 Year 7 8 75 Year 8 1 09 TABLE 26 MACRS Mid Quarter Convention  For property placed in service during the second quarter Depreciation Rate for Recovery Period 5 Year 7 Year Year 1 25 00  17 85  Year 2 30 00 23 47 Year 3 18 00 16 76 Year 4 11 37 11 97 Years 11 37 8 87 Year 6 4 26 8 87 Year 7 8 87 Years TABLE 2c MACRS Mid Quarter Convention  For property placed in service during the third quarter Depreciation Rate for Recovery Period 5 Year 7 Year Year 1 15 00  10 71  Year 2 34 00 25 51 Year 3 20 40 18 22 Year 4 12 24 13 02 Year 5 11 30 9 30 Year 6 7 06 8 85 Year 7 Year 8 8 86 5 53 TABLE 2d MACRS  Mid Quarter Convention  For property placed in service during the fourth quarter Depreciation Rate for Recovery Period 5 Year 7 Year Year 1 5 00  3 57  Year 2 38 00 27 55 Year 3 22 80 19 68 Year 4 13 68 14 06 Year 5 10 94 10 04 Year 6 9 58 8 73 Year 7 8 73 Year 8 7 64 3 637 TABLE 3 Residential Rental Property Mid Month Convention Straight Line   27 5 Years Month Property Placed in Service Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 Year 1 3 485  3 182  2 879  2 576  2 273  1 970  1 667  1 364  1 0619 0 758  0 455  0 1524 Year 2 9 3 636 3 636 3 636 3 636 3 636 3 636 3 636 3 636 3 636 3 636 3 636 3 636 Year 10 3,637 3 637 3 637 3 637 3 637 3 637 3 636 3 636 3 636 3 636 3 636 3 636 Year 11 3 636 3 636 3 636 3 636 3 636 3 636 3 637 3 637 3 637 3,637 3 637 Year 12 3 637 3 637 3 637 3 637 3 637 3 637 3 636 3 636 3 636 3 636 3 636 3 636 Year 13 3 636 3 636 3 636 3 636 3 636 3 636 3,637 3 637 3 637 3 637 3 637 3 637 Year 14 3 637 3 637 3 637 3 637 3 637 3 637 3 636 3 636 3 636 3 636 3 636 3 636 Year 15 3 636 3 636 3 636 3 636 3 636 3 636 3 637 3 637 3 637 3 637 3 637 3,637 Year 16 3 637 3 637 3 637 3 637 3 637 3 637 3 636 3 636 3 636 3 636 3 636 3 636 Year 17 3 636 3 636 3 636 3 636 3 636 3 636 3 637 3 637 3 637 3 637 3 637 3 637 Year 18 3 637 3 637 3 637 3 637 3 637 3 637 3 636 3 636 3 636 3 636 3 636 3 636 Year 19 3 636 3 636 3 636 3 636 3 636 3 636 3 637 3 637 3 637 3 637 3 637 3 637 Year 20 3 637 3 637 3 637 3 637 3 637 3 637 3 636 3 636 3 636 3 636 3 636 Year 21 3 636 3 636 3 636 3 636 3 636 3 636 3 637 3 637 3 637 3 637 3 637 3 637 Year 22 3 637 3 637 3 637 3 637 3 637 3 637 3,636 3 636 3 636 3 6 36 3 636 3 636 Year 23 3 636 3 636 3 636 3 636 3 636 3 636 3 637 3 637 3 637 3 637 3 637 3 637 Year 24 3 637 3 637 3 637 3 637 3 637 3,637 3 636 3 636 3 636 366 3 16 Year 25 3 636 3 636 3 636 3 636 3 636 1 636 3 637 3 637 3 637 3 637 3 637 3637 Year 26 3 637 3 637 3 637 3 637 3 637 3 637 3 636 3 636 3 636 3 636 3 636 3 636 Year 27 3,636 3 636 3 636 3 630 3 636 3 636 3 637 3 637 3 637 1 637 3 637 Year 28 1 97 2 273 2 576 2 579 3 485 3 636 3 636 3 636 3 636 3 036 Year 29 0 152 0 435 0 758 1 061 1 667 3 636 2 636 Month 10 0 661  3 175 3 175 3 175 3 174 1 175 3 174 3 175 3 174 3 175 3 174 Month 11 0 39794 3 175 3 173 3 174 3 175 3 174 3 175 174 3 175 3 174 3 175 Month 12 0 1324 3 175 3 173 3 175 3 174 3 175 3 174 3,175 3 174 3 175 3 174 3 175 3 175 TABLE 4 Naamidential Real Property Md  Month Convention Straight Line 31 5 Years (for assets placed in service before May 13, 1993) Month Property Placed in Service Mouth 1 Mouth 2 Month 3 Month 4 Month 5 Month 6 Month 7 Montb Mouth Year 1 3 04296 2 7784 2 513  2 49  1 984  1 720  149596 1 1909 0 9269 Year 2 7 3 175 3 175 3 195 3 175 3 175 3 175 3 175 3 175 3 125 Years 3 175 3 174 1174 3 174 3 175 3 174 3 175 3 175 3 175 Year 3 174 3 175 3 174 3 175 3 174 3 175 3 194 3 175 3 174 Year 10 3 175 3074 3 175 3 174 3 175 2 174 3 175 3 174 3 175 Year 11 3 174 3 175 3 114 3 175 3 174 1 175 3 174 3 175 3 194 Year 12 3175 3 174 3 175 3 194 3 175 3 174 3 175 3 174 3 175 Year 13 3 174 3 175 2174 3 195 3 174 3 175 3 174 3 175 J 144 Year 14 3 175 3 194 3 175 3 174 3 174 3 174 3 175 Year 15 3 194 3 175 3 174 3 175 J 174 3 175 3 174 3175 3 174 Year 16 3 175 3 174 3 175 3 174 3 175 3 174 2175 3 174 3 175 Ver 17 3 174 3 175 3 174 3 175 3 174 3 175 3 174 3 175 J 174 Year is 3 119 2 174 32 175 1194 175 3 174 1175 3195 Year 1 2 174 3 175 3 174 3 175 3 175 3 174 3 173 3 114 Year 20 3 174 3 179 3 174 3 194 1 174 1 175 Year 21 3 174 1 175 1 174 3 175 3 174 3 179 3 174 3 17 3 174 Year 22 175 3 179 3 174 3 175 3 174 3 125 3 174 3 175 Year 13 3 174 1 175 3 194 3 175 3 175 3174 3 113 3 174 Year24 3 175 3 174 2 175 3 174 3 175 3 17 3 174 3 175 Year 26 178 2 175 3 170 2 175 IN 3 194 3 175 3 14 Year 36 1 175 3 195 3 175 3 174 3 179 3 174 3 195 Year 17 2114 3 175 3 194 3 195 3,194 3 195 11 3 175 174 3 174 3 174 3 174 3195 3 17 3 175 Year 19 1 174 3 175 3 174 3 175 2 174 3 175 3 17 3 175 11 Year 38 3 174 3 17 174 3 175 1174 3 175 3 174 X,175 Year 31 3174 175 3 174 3 175 3 174 3 175 3 174 175 3 174 Year 30 1 720 1 9 2 513 2 775 3 02 3 175 1174 Year 0307 PALE 174 3 198 179 3 LT 3 175 2174 3 175 31174 3 175 3 174 3 175 J 174 3 175 3 174 3 175 3 194 PIK 3 173 174 3 175 3 144 3 175 3 174 3 175 3 174 3 175 117 3 175 2 11 2 175 2 174 3 175 3 174 175 3 174 0 9 20 IN 195 194 3 175 3 17 2 1 1174 IM 3 179 3 174 2175 3 17 HITS 1 194 3 175 3 114 1 455 1990 TABLE 5 Norridential Real Property Mid Month Convention Straight line 39 Years for assets placed in service ca er after May 13, 1993) Mooth Property Placed in Service Month Mewth 2 Month Meth Month Month 6 Month Month Month Year 2 461  2 3475 20336 1 1946 16096 1 39196 1 179 090396 0 120 Year 2 39 2 564 2 461 2564 2564 2 864 2564 2564 Vear 40 0 107 0321 05 0 700 0 00 1 177 1991 1 00 1 810 Month 10 Mouth 11 01219 2 561 Mouth 12 0107 3 564 2461 2050 2 554 2 564 2013

Accepted Answer

The Answer is in the image, click to view ...

Question

On January 8 of year 1, Javier purchased a building, including the land it was on to assemble his new equipment. The total cost of

Step by Step Solution

Step: 1

Get Instant Access to Expert-Tailored Solutions

Step: 2

Step: 3

Ace Your Homework with AI

Recommended Textbook for

An Auditors Guide To Auditing Financial Statements In The UK

Students also viewed these Accounting questions

Question

Question

Question

Question

Question

Question

Question

Question

Question

Question

Question

Question

Question

Question