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Required information Skip to question [The following information applies to the questions displayed below.] On April 17 of year 1, Javier purchased a building, including
Required information
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[The following information applies to the questions displayed below.]
On April 17 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 $1,533,000; $393,000 was allocated to the basis of the land and the remaining $1,140,000 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 Javiers depreciation deduction on the building for years 1 through 3?
b. What would be the year 3 depreciation deduction if the building was sold on February 9 of year 3?
c. Assume the building was purchased and placed in service on February 17 instead of April 17. Using MACRS, what is Javiers depreciation deduction on the building for years 1 through 3?
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