Question 11 pts

Henry Hoover operates a freight line which delivers a substantial number of boats made by Walter Company. During 2014, Henry made a loan of $45,000 to Walter Company in order to maintain their business relationship. Walter Company went bankrupt in 2014 and did not repay Henry's loan. Henry is entitled to which of the following in 2014?

$0

$3,000 STCL

$27,000 LTCL

$45,000 ordinary loss

Question 41 pts

In March 2015, a corporation purchased residential real estate (an apartment complex) at a total cost of $250,000. Of this amount, $50,000 was allocated to the underlying land. What is the corporation's allowable depreciation deduction for 2015 under MACRS? (Ignore IRC 179 and bonus depreciation.)

$5,758

$5,128

$6,350

$7,272

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Question 51 pts

Two years ago, a corporation purchased residential real estate (an apartment complex) at a total cost of $250,000. Of this amount, $50,000 was allocated to the underlying land. What is the corporation's allowable depreciation deduction for the current year under MACRS?

$5,000

$5,128

$6,350

$7,273

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Question 61 pts

Last year, a corporation purchased an office building for $190,000. The building's salvage value was estimated to be $50,000. Ignore bonus depreciation and Section 179. The corporation's current year depreciation deduction for the building is:

$3,590

$4,872

$5,641

$6,909

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Question 71 pts

Seven-year property costing $75,000 was placed in service on July 7 of the current year. The property has no salvage value and is depreciated using straight-line. Assuming the company elects not to take advantage of either bonus depreciation or the Code Sec. 179 deduction and the mid-quarter convention applies to all seven-year property placed in service this year, what will be depreciation expense with regard to this property for the current year?

$10,714

$4,018

$5,357

None of the above