On May 1 of the prior year, Baker purchased equipment with a five-year useful life for a cost of $10,000. Baker adopted the MACRS depreciation system and did not utilize any special depreciation deductions. On March 1 of the current year, Baker sold the equipment. The MACRS depreciation schedule for five-year property is listed below: First year - 20.00% Second year - 32.00% Third year - 19.20% What amount of depreciation can Baker deduct in the current year?

=Answer is 1600

--------------------- There was already an explaination for this question in the site,

Calculated as In year of sale depreciation is half the full year depreciation Depreciation rate for current year = 32% Cost of asset = $10000 Depreciation for current year = $10000*32%*1/2 = $1600 hence our answer is $1600.

MY INQUIRY:: "I STILL DONT GET WHY WE SELECTED Second year 32%? Because in the question it no where says year 2. Thank you