Question
Stone Age Concrete, Inc., purchased cement manufacturing equipment valued at $420,000 on March 14, 2014. The equipment is used for business 100% of the time.
Stone Age Concrete, Inc., purchased cement manufacturing equipment valued at $420,000 on March 14, 2014. The equipment is used for business 100% of the time. The firms accountant elected to take a $100,000 section 179 deduction. You have been asked to review the depreciation figures used for this equipment.
Prepare a depreciation schedule for the first five years of operation of this equipment by using MACRS.
| End of year | Original basis (cost) | Cost recovery percentage | cost recovery depriciation | Accumulated depriciation | Book value |
|---|---|---|---|---|---|
| / | / | / | / | / | (new) |
| 1 | |||||
| 2 | |||||
| 3 | |||||
| 4 | |||||
| 5 | |||||
| / | / | / | / | / | / |
No answer needed where / sign is
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Core Concepts Of Accounting Information Systems
Authors: Nancy A. Bagranoff, Mark G. Simkin, Carolyn Strand Norman
11th Edition
9780470507025, 0470507020
