Required information The following information applies to the questions displayed below On March 14 of year 1 Javier purchased a building, including the land it was on, to assemble his new equipment The tota cost of the purchase was $1,475,500, $328,000 was allocated to the basis of the land and the remaining $1,147,500 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.) e. What would be the depreciation for 2018, 2019, and 2020 if the service March 14, 2001 (assume the same original basis)? property were nonresidential property purchased and placed in Year 2018 S 2019 s 36,422 36,433 36,422 Productionibnelaccouriting/spilker 10e/ch 10 table1 htm Table 1 MACRS Half-Year Convention Depreciation Rate for Recovery Period 3-Year 5-Year7-Year 10-Year 15-Year 20-Year 33.33%| 20.00%| 14.29%| 10.00%| 5.00%| 3.750% 44.45 14.81 Year 1 Year 2 Year 3 32.00 19.20 11.52 11.52 5.76 7.219 24.49 17.49 12.49 8.93 8.92 8.93 4.46 18.00 14.40 11.52 9.22 7.37 6.55 6.55 6.56 6.55 3.28 9.50 8.55 7.70 6.93 6.23 5.90 5.90 5.91 5.90 5.91 5.90 5.91 5.90 5.91 2.95 6.677 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11 Year 12 Year 13 Year 14 Year 15 7.41 5.713 5.285 4.888 4.522 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 Year 16 Year 17 Year 18 Year 19 Year 20 Year 21 2.231 TABLE 2a MACRS Mid-Quarter Convention: For property placed in service during the first quarter Depreciation Rate for Recovery Period 5-Year 35,00% 7-Year 25.00% 21.43 15.31 10.93 8.75 8.74 8.75 1.09 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 15.60 11.01 11.01 1.38 in service during the second quarter TABLE 2b MACRS Mid-Quarter Convention: For property placed Depreciation Rate for Recovery Period 5-Year 25.00% 30 00 18.00 11.37 7-Year 17.85% 23.47 16.76 11.97 8.87 8.87 8.87 3.34 Year 1 Year 2 Year 3 Year 4 Year 511.37 4.26 Year 6 Year 7 Year 8 TABLE 2c MACRS Mid-Quarter Convention: For property placed in service during the third quarter Depreciation Rate for Recovery Period 5-Year 15.00% 34.00 7-Year 10.71% 25.51 18.22 13.02 Year 1 Year 2 Year 320.40 Year 4 Year 5 Year 6 Year 7 12.24 11.30 7.06 8.85 8.86 Year 8 TABLE 2d 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 27.55 19.68 14.06 10.04 8.73 8.73 7.64 22.80 13.68 10.94 9.58 Year 6 Year 7 Year 8 TABLE 3 Residential Reutal Property Mid-Month Convention Straight Line-27.5 Years Month Property Placed in Service Month I Month 2 Month 3 Month 4 Month 5 Month 6 M 2 Month 7 Month 8 Month 9 Month 10 Month 11 Month I 1.667% ; 485% 3 ' 82% 2.879% 2.576% 3.636 3.637 3.636 3.637 2.273% 1.970% | 1.364%| 1.061%| 3.636 0.758%| 0.455%| 3.636 3.636 3.637 0.152% Year 2-9 3.636 3.636 Year 10 3.637 3.637 3.637 3.636 3.636 3.637 3.636 3.637 3.636 3.637 3.637 3.637 3.637 3.637 3.636 3.637 Year 12 3.637 Year 133.636 Year 14 3.637 Year 153.636 3.637 3.637 3.637 3.637 3.637 3.637 3.637 3.636 3.637 3.637 3.636 3,636 3.637 3.637 Year 16 3.637 Year 173,636 Year 18 3.637 Year 19 3.636 Year 20 3.637 Year 213.636 Year 223.637 Year 23 3.636 3.637 3.637 3.636 3.636 3.637 3.637 3.637 3.637 3.637 3.637 3.636 3.636 3.637 3.637 3.636 3.637 3.637 3.637 .637 3.637 3.636 3.636 3.637 3.637 3.637 3.637 3.637 3.636 3.637 3.636 3.637 3.636 3.637 3.637 3.637 3.637 3.636 3.637 3.637 3.637 Year 243.637 3.637 3.637 3.637 3.636 Year 25 3636 3.637 3.637 3.636 3.637 3.636 3.637 Year 26 3.637 Year 27 3.636 Year 28 Year 29 3.637 3.637 3.637 3.636 3.485 3.636 3.637 3.637 3.636 0.758 3.637 2.273 0.455 TABLE 4 Nearesidrnitial Real Property Mid-Meach Conveation Straight Line-31.5 Years for assets placed in service before May 13, 1993) Meach Preperty Placed is Service Manth 9 Month ear 13 1.174 3.175 Year 15 Year 17 3174 1.175 175 175 Year 20 1175 174 134 3.175 3.174 3.175 Year 22 1174 .175 Year 24 Year 23 Year 26 Year 27 3.175 3.175 3.174 3.175 3.175 ,174 .175 3.174 1175 3.174 .175 3.174 3.175 .174 3.174 .175 .174 3.175 3.175 .174 3.175 3.174 Year 29 Year 30 3.174 175 .175 3.175 .174 175 .174 0.397 3.175 2513 3.174 2.778 175 3.174 Year 32 .984 1.720 249 3.042 3.175 0.661 .174 Year 3 0 132 0.926 TABLE 5 Nonresidential Real Property Mid-Month Convention Straight Lin-39 Vears (for assets placed in service on or aller May 1.1n Month Property Placed in Service Month 6 Month 9 Month Month 1 2.461% Month 4 1 819% 2.564 0.749 Month 5 1.605% Month 7 Month Month Month 3 2.033% 2.564 0.535 0 749% 2.564 1.819 0535 2.564 2033 0 963% 2.564 1 605 1.391% I 177% 2.564 1.391 Year I Year 2-39 2.564 Year 40 2 247% Year 2-39 24 2 564 2564 26464 2542504564564 2.564 0.963 0.321
