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Required information (The following information applies to the questions displayed below.) Karane Enterprises, a calendar-year manufacturer based in College Station, Texas, began business in 2018.

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Required information (The following information applies to the questions displayed below.) Karane Enterprises, a calendar-year manufacturer based in College Station, Texas, began business in 2018. In the process of setting up the business, Karane has acquired various types of assets. Below is a list of assets acquired during 2018: Asset Office furniture Machinery Used delivery truck. Cost $ 150,000 1,560,000 40,000 Date Placed in Service 02/03/2018 07/22/2018 08/17/2018 "Not considered a luxury automobile. During 2018, Karane was very successful and had no 5179 limitations) and decided to acquire more assets in 2019 to Increase its production capacity. These are the assets acquired during 2019: Cost 400,000 $ Asset Computers & info. system Luxury autot Assembly equipment Storage building Date Placed in Service 03/31/2019 05/26/2019 08/15/2019 11/13/2019 1,200,000 700.000 tUsed 100% for business purposes. Karano generated taxable income in 2019 of $1,732,500 for purposes of computing the 5179 expense. (Use MACRS Table 1, Table 2. Table 3, Table 4, Table 5, and Exhibit 10-10.) Assume the 2018 5179 limits are the same as those in 2019. (Leave no answer blank. Enter zero if applicable. Input all the values as positive numbers.) Asset Computers into system Luxury autot Assembly equipment Storage building Cost 400,000 80,000 1,200,000 700.000 Date Placed in Service 03/31/2019 05/26/2019 08/15/2019 11/13/2019 tUsed 100% for business purposes. Karane generated taxable income in 2019 of $1.732.500 for purposes of computing the 5179 expense. (Use MACRS Table 1. Table 2. Table 3. Table 4, Table 5. and Exhibit 10-10.) Assume the 2018 5179 limits are the same as those in 2019. (Leave no answer blank. Enter zero if applicable. Input all the values as positive numbers.) a. Compute the maximum 2018 depreciation deductions, including 5179 expense (ignoring bonus depreciation). Description Cost $179 Expense MACRS Basis Current MACRS Depreciation Total Depreciation Deduction Office furniture Machinery Delivery truck Totals tUsed 100% for business purposes. Karane generated taxable income in 2019 of $1,732,500 for purposes of computing the $179 expense. (Use MACRS Table 1, Table 2, Table 3, Table 4. Table 5, and Exhibit 10-10.) Assume the 2018 5179 limits are the same as those in 2019. (Leave no answer blank. Enter zero if applicable. Input all the values as positive numbers.) Part 2 of 5 b. Compute the maximum 2019 depreciation deductions, including $179 expense (ignoring bonus depreciation). points Description Cost Sec. 179 Expense MACRS Basis Current MACRS Depreciation Total Depreciation Deduction Print 2018 Assets Office furniture Machinery Used delivery truck 2019 Assets Computers & Info System Luxury Auto Assembly Equipment Storage Building Totals Karane generated taxable income in 2019 of $1.732,500 for purposes of computing the $179 expense. (Use MACRS Table 1. Table 2. Table 3. Table 4. Table 5. and Exhibit 10-10.) Assume the 2018 5179 limits are the same as those in 2019. (Leave no answer blank. Enter zero if applicable. Input all the values as positive numbers.) c. Compute the maximum 2019 depreciation deductions, including $179 expense, but now assume that karane would like to take bonus depreciation. Tota Description Cost Sec. 179 Expense Bonus MACRS Basis Current MACRS Depreciation Depreciation Deduction 2018 Assets Office furniture Machinery Used delivery truck 2019 Assets Computers & Info System Luxury Auto Assembly Equipment Storage Building Totals Karone generated taxable income in 2019 of $1,732.500 for purposes of computing the 5179 expense. (Use MACRS Table 1. Table 2. Table 3. Table 4. Table 5. and Exhibit 10-10.) Assume the 2018 5179 limits are the same as those in 2019, (Leave no answer blank. Enter zero if applicable. Input all the values as positive numbers.) d. Now assume that during 2019, Karane decides to buy a competitor's assets for a purchase price of $1,350,000. Compute the maximum 2019 cost recovery, including 5179 expense and bonus depreciation. Karane purchased the following assets for the lump- sum purchase price. (Round your final answers to the nearest whole dollar amount.) Inventory office furniture Machinery Patent Goodwill Building Cost $220,000 230,000 250.000 108,000 2,000 430.000 20.000 Date Placed in Service 09/15/2019 09/15/2019 09/15/2019 09/15/2019 09/15/2019 09/15/2019 09/15/2019 Description - Cost Sec. 179 Bonus MACRS Basis Total Deprecation Deduction MACRS Depreciation Expense 2018 Assets Office furniture Machinery Used delivery truck Required information Description Cost Sec. 179 Expense Bonus MACRS Basis MACRS Depreciation Depreciation Deduction 2018 Assets Office furniture Machinery Used delivery truck 2019 Assets Computers & Info System Luxury Auto Assembly Equipment Storage Building Inventory Office Furniture Machinery Patent Goodwill Building Land Totals Required information (The following information applies to the questions displayed below.) Karane Enterprises, a calendar-year manufacturer based in College Station, Texas, began business in 2018. In the process of setting up the business, Karane has acquired various types of assets. Below is a list of assets acquired during 2018: Asset Office furniture Machinery Used delivery truck. Cost $ 150,000 1,560,000 40,000 Date Placed in Service 02/03/2018 07/22/2018 08/17/2018 "Not considered a luxury automobile. During 2018, Karane was very successful and had no 5179 limitations) and decided to acquire more assets in 2019 to Increase its production capacity. These are the assets acquired during 2019: Cost 400,000 $ Asset Computers & info. system Luxury autot Assembly equipment Storage building Date Placed in Service 03/31/2019 05/26/2019 08/15/2019 11/13/2019 1,200,000 700.000 tUsed 100% for business purposes. Karano generated taxable income in 2019 of $1,732,500 for purposes of computing the 5179 expense. (Use MACRS Table 1, Table 2. Table 3, Table 4, Table 5, and Exhibit 10-10.) Assume the 2018 5179 limits are the same as those in 2019. (Leave no answer blank. Enter zero if applicable. Input all the values as positive numbers.) Asset Computers into system Luxury autot Assembly equipment Storage building Cost 400,000 80,000 1,200,000 700.000 Date Placed in Service 03/31/2019 05/26/2019 08/15/2019 11/13/2019 tUsed 100% for business purposes. Karane generated taxable income in 2019 of $1.732.500 for purposes of computing the 5179 expense. (Use MACRS Table 1. Table 2. Table 3. Table 4, Table 5. and Exhibit 10-10.) Assume the 2018 5179 limits are the same as those in 2019. (Leave no answer blank. Enter zero if applicable. Input all the values as positive numbers.) a. Compute the maximum 2018 depreciation deductions, including 5179 expense (ignoring bonus depreciation). Description Cost $179 Expense MACRS Basis Current MACRS Depreciation Total Depreciation Deduction Office furniture Machinery Delivery truck Totals tUsed 100% for business purposes. Karane generated taxable income in 2019 of $1,732,500 for purposes of computing the $179 expense. (Use MACRS Table 1, Table 2, Table 3, Table 4. Table 5, and Exhibit 10-10.) Assume the 2018 5179 limits are the same as those in 2019. (Leave no answer blank. Enter zero if applicable. Input all the values as positive numbers.) Part 2 of 5 b. Compute the maximum 2019 depreciation deductions, including $179 expense (ignoring bonus depreciation). points Description Cost Sec. 179 Expense MACRS Basis Current MACRS Depreciation Total Depreciation Deduction Print 2018 Assets Office furniture Machinery Used delivery truck 2019 Assets Computers & Info System Luxury Auto Assembly Equipment Storage Building Totals Karane generated taxable income in 2019 of $1.732,500 for purposes of computing the $179 expense. (Use MACRS Table 1. Table 2. Table 3. Table 4. Table 5. and Exhibit 10-10.) Assume the 2018 5179 limits are the same as those in 2019. (Leave no answer blank. Enter zero if applicable. Input all the values as positive numbers.) c. Compute the maximum 2019 depreciation deductions, including $179 expense, but now assume that karane would like to take bonus depreciation. Tota Description Cost Sec. 179 Expense Bonus MACRS Basis Current MACRS Depreciation Depreciation Deduction 2018 Assets Office furniture Machinery Used delivery truck 2019 Assets Computers & Info System Luxury Auto Assembly Equipment Storage Building Totals Karone generated taxable income in 2019 of $1,732.500 for purposes of computing the 5179 expense. (Use MACRS Table 1. Table 2. Table 3. Table 4. Table 5. and Exhibit 10-10.) Assume the 2018 5179 limits are the same as those in 2019, (Leave no answer blank. Enter zero if applicable. Input all the values as positive numbers.) d. Now assume that during 2019, Karane decides to buy a competitor's assets for a purchase price of $1,350,000. Compute the maximum 2019 cost recovery, including 5179 expense and bonus depreciation. Karane purchased the following assets for the lump- sum purchase price. (Round your final answers to the nearest whole dollar amount.) Inventory office furniture Machinery Patent Goodwill Building Cost $220,000 230,000 250.000 108,000 2,000 430.000 20.000 Date Placed in Service 09/15/2019 09/15/2019 09/15/2019 09/15/2019 09/15/2019 09/15/2019 09/15/2019 Description - Cost Sec. 179 Bonus MACRS Basis Total Deprecation Deduction MACRS Depreciation Expense 2018 Assets Office furniture Machinery Used delivery truck Required information Description Cost Sec. 179 Expense Bonus MACRS Basis MACRS Depreciation Depreciation Deduction 2018 Assets Office furniture Machinery Used delivery truck 2019 Assets Computers & Info System Luxury Auto Assembly Equipment Storage Building Inventory Office Furniture Machinery Patent Goodwill Building Land Totals

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