Question
Sid purchased an automobile for personal use on January 18,2011 for $10,000. On January 1,2015, sid starts a small business and egins to use the
Sid purchased an automobile for personal use on January 18,2011 for $10,000. On January 1,2015, sid starts a small business and egins to use the autombile exclusively in the business. The automobile's FMV o this dae is $6,000. MACRS depreciation dedutions are based on a 5-year recovery peroid.
A) What is the automobiles basis for depreciation when converted to business use in 2015?
B) assuming Sid does not elect sec 179 expensing, what is Sids depreciation deduction in 2015?
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Principles Of Financial And Managerial Accounting Volume 2
Authors: Thomas D Hubbard
3rd Edition
0873934911, 978-0873934916
