Problem $8-12$

Modified Accelerated Cost Recovery System $($MACRS$),$ Listed Property,

Limitation on Depreciation of Luxury Automobiles

$($LO $8\mathrm{.}2,8\mathrm{.}4,8\mathrm{.}5)$

On September $14,2022,$ Jay purchased a passenger automobile that is

used $75$ percent in his business. The automobile has a basis for

depreciation purposes of $$48,000,$ and Jay uses the accelerated method

under MACRS. Jay does not elect to expense under section $179.$

Click here to access the depreciation table and click here to

access the annual automobile depreciation limitations$.$

Calculate Jay's depreciation deduction for $2022$ assuming bonus

depreciation.