Required information [The following information applies to the questions displayed below.) At the beginning of the current year, Poplock began a calendar-year dog boarding business called Griff's Palace. Poplock bought and placed in service the following assets during the year. Asset Date Acquired Cost Basis Computer equipment 3/23 $ 7,000 Dog-grooning furniture 5/12 9,000 Pickup truck 9/17 10,000 Comercial building 10/11 290,000 Land (one acre) 10/11 100,000 Assuming Poplock does not elect 5179 expensing and elects not to use bonus depreciation, answer the following questions: (Use MACRS Table 1. Table 2. Table 3. Table 4 and Table 5.) (Do not round Intermediate calculations. Round your final answers to the nearest whole dollar amount. Leave no answer blank. Enter zero if applicable.) b. What is Poplock's year 2 depreciation deduction for each asset? Asset Depreciation Deduction Computer equipment Dog-grooming furniture Pickup truck Commercial building Land (one scro) Total Table 1 MACRS Half-Year Convention 20-Year Year 1 Year 2 Year 3 3.750% 7.219 Year 4 Year 5 Depreciation Rate for Recovery Period 3-Year 5-Year 7-Year 10-Year 15-Year 33.33% 20.00% 14.29% 10.00% 5.00% 44.45 32.00 24.49 18.00 9.50 14.81 19.20 17.49 14.40 8.55 7.41 11.52 12.49 11.52 7.70 11.52 8.93 9.22 6.93 5.76 8.92 7.37 6.23 8.93 6.55 5.90 4.46 6.55 5.90 6.56 5.91 6.55 5.90 3.28 5.91 6.677 6.177 5.713 5.285 Year 6 Year 7 4.888 4.522 5.90 5.91 Year 8 Year 9 Year 10 Year 11 Year 12 Year 13 Year 14 Year 15 Year 16 Year 17 Year 18 Year 19 Year 20 Year 21 5.90 5.91 2.95 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 2.231 TABLE 2a MACRS Mid-Quarter Convention: For property placed in service during the first quarter Depreciation Rate for Recovery Period 5-Year 7-Year Year 1 35.00% 25.00% Year 2 26.00 21.43 Year 3 15.60 15.31 Year 4 11.01 10.93 Year 5 11.01 8.75 Year 6 1.38 8.74 Year 7 8.75 Year 8 1.09 TABLE 26 MACRS Mid-Quarter Convention: For property placed in service during the second quarter Depreciation Rate for Recovery Period 5-Year 7-Year Year 1 25.00% 17.85% Year 2 30.00 23.47 Year 3 18.00 16.76 Year 4 11.37 11.97 Year 5 11.37 8.87 Year 6 4.26 8.87 Year 7 8.87 Year 8 3.34 TABLE 2 MACRS Mid-Quarter Convention: For property placed in service during the third quarter Depreciation Rate for Recovery Period 5-Year 7-Year Year 1 15.00% 10.71% Year 2 34.00 25.51 Year 3 20.40 18.22 Year 4 12.24 13.02 Year 5 11.30 9.30 Year 6 7.06. 8.85 Year 7 8.86 Year 8 5.53 TABLE 20 MACRS-Mid Quarter Convention: For property placed in service during the fourth quarter Depreciation Rate for Recovery Period 5-Year 7-Year Year 1 5.00% 3.57% Year 2 38.00 27.55 Year 3 22.80 19.68 Year 4 13.68 14.06 Year 5 10.94 10.04 Year 6 9.58 8.73 Year 7 8.73 Year 8 7.64 3.637 TABLE 3 Residential Rental Property Mid-Month Convention Straight Line-275 Years Month Property Placed in Service Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Year 1 3.485% 3.182% 2.879% 2.57696 2.273% 1.970% 1.667% Year 2.9 3.636 3.636 3,636 3.636 3,636 3.636 3.636 Year 10 3.637 3.637 3.637 3.637 3.637 3.637 3.636 Year 11 3.636 3.636 3,636 3,636 3,636 3.636 3.637 Year 12 3.637 3.637 3.637 3.637 3.637 3.637 3.636 Year 13 3,636 3.636 3.636 3,636 3.636 3.636 3.637 Year 14 3.637 3,637 3.637 3.637 3.637 3.636 Year 15 3.636 3.636 3.636 3.636 3.636 3.636 3.637 Year 16 3.637 3.637 3.637 3,637 3,637 3.637 3,636 Year 17 3,636 3.636 3,636 3.636 3,636 3.636 3.637 Year 18 3,637 3.637 3.637 3,637 3.637 3837 3.636 Year 19 3,636 3,636 3.636 3.636 3.636 3.636 3.637 Year 20 3.637 3.637 3.637 3.637 3,637 3.637 3.636 Year 21 3.636 3.636 3.636 3.636 3.636 3.636 3.637 Year 22 3.637 3637 3,637 3,637 3.637 3.637 3.636 Year 23 3.636 3.636 3.636 3.636 3.636 3.636 3.637 Year 24 3.637 3.637 3,637 3,637 3,637 3.637 3,636 Year 25 3.636 3.636 3636 3636 3.636 3.636 3.637 Year 26 3.637 3.637 3.637 3.637 3.637 3.637 3.636 Year 27 3.636 3.636 3.636 3,636 3636 3.636 3.637 Year 28 1.97 2.273 2.576 2.879 3.182 3.483 3.636 Year 29 0.152 Month 8 1.364% 3.636 3.636 3.637 3.636 3.637 3.636 3,637 3.636 3.637 3.636 3.637 3,636 3,637 3.636 3.637 3.636 Month 9 Month 10 Month 11 Month 12 1.061% 0.758% 0.455% 0.1529 3,636 3.636 3.636 3.636 3.636 3.636 3.636 3.636 3.637 3.637 3.637 3,637 3.636 3.636 3.636 3.636 3.637 3,637 3.637 3.637 3.636 3.636 3.636 3.636 3,637 3.637 3.637 3.637 3.636 3.636 3.636 3.636 3.637 3.637 3.637 3,637 3.636 3,636 3,636 3.636 3,637 3.637 3.637 3.637 3,636 3.636 3.636 3.636 3.637 3,637 3.637 3.637 3,636 3.636 3.636 3.636 3.637 3.637 3.637 3.637 3.636 3,636 3,636 3.636 3.637 3.637 3,637 3.637 3.636 3,636 3.636 3.636 3.637 3.637 3,637 3.637 3.636 3.636 3.636 3.636 0.758 1.061 1.364 1.667 3.637 3.636 3.637 3.636 0.455 MO cm OSO Mount Month 1 Month 0926 3.175 Month 11 0.397 3.175 3.125 1.174 3.175 SIE 3.175 3.175 3.174 3.175 3.174 3:11 3.174 3.175 3.194 3.175 3.174 Month 2 27783 3.175 3174 3.125 2174 3175 3.174 3.173 Year 1 Year 3.7 Years Year Year 10 Year 11 Year 12 Year 13 Year 14 Year 15 Year 16 Year 19 Year 18 Year 19 Year 30 Year 21 Year 22 Year 23 Der 34 Sear25 Year 36 Year 27 Ver Year 29 Year 30 Wear Year Month 1.1909 3.175 3.175 3.175 3174 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3.174 3.175 Month 25135 3.195 3.175 3174 3.175 3174 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3.174 3.125 3.174 3.195 3174 3.175 3174 3.175 3174 3.15 1174 2349 3.175 3.174 3.175 3.174 3175 3174 3.175 3174 3.175 3.174 Month Property Placed in Service Month 5 Month 6 Month 7 1.984 1.720 1.455 3.175 3.175 3.175 3.175 3124 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3.174 3175 3.174 3.175 3.174 3.175 3.174 3125 3.174 3175 1174 3.175 3.174 3.175 3174 3.175 3174 3.175 3.174 3.195 3.174 3.175 3.174 3.175 21 1.175 3.174 3175 3.174 3.175 3.174 3.175 3.174 3.175 1174 3.174 3.175 2174 3175 3.174 3175 174 3.125 3.174 3.175 3.174 3175 3174 3175 3.174 3.175 1.175 3.174 3175 3 174 3125 3174 2778 3042 3195 Month 4 22491 3.175 3.174 3.175 3.174 3.175 3.174 3.125 3174 3175 3.174 3.175 3.174 3.175 3.174 1.125 3.174 3.175 3.174 3.135 3:14 3.175 3.174 3.125 3.174 3.175 2513 SLIE Month 10 06615 3.175 3.175 3.175 3.174 3.175 3.174 3.175 3.174 3175 3 174 3.175 3.174 3.175 3194 3175 3.174 1175 3.174 3175 3.174 3175 3:14 3.125 3174 3.175 3174 Month 12 0.132 3.195 3.175 1175 3.174 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3.174 3.175 3174 1175 1.174 3.175 3174 1.175 3174 30175 3.174 3.175 1174 3.174 3.175 3.174 3.125 3.174 3.175 1.194 3.175 3.174 3.195 3.174 3.175 3174 3.175 3.174 3.175 3.174 3175 3.174 1.175 3116 1125 3.194 3.195 06 am 3175 3.134 1195 3.174 1175 1114 3:175 3.174 3.175 3.174 3.175 3.174 3175 314 3.195 3.174 3.125 3174 3.174 3175 3194 3.175 3.174 3.175 3174 3.115 3.174 3.175 3.74 3175 1114 1720 SLIE 1175 3.178 3.115 3.174 3.175 3.174 3:175 3.170 3.175 3174 3174 314 0.197 3.174 3.175 3.190 3.125 3174 1175 1984 SLI SCIE SIE 3114 3.175 1.190 1174 1455 0936 CLIO TABLE 5 Nonresidential Real Property Mid-Month Convention Straight Line --9 Years for assets placed in service on or after May 13, 1993) Month Property Placed in Service Month 1 Month 2 Month 3 Month 4 Months Month Month Month Month 9 Year 1 2461 2.247 2011 1819 1605 1391 1.177 09619 0.7499 Year 2:39 2564 2564 2564 2364 2564 2564 2566 2364 Year 40 0.107 0321 0.315 0.740 0.963 1.177 1.391 1.605 LR19 Month 10 0535 Month 11 0.3219 2564 Month 12 0.1074 2564 2.461 2013
