Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Way Corporation disposed of the following tangible personal property assets in the current year. Asset Date Acquired Date Sold Convention Original Basis Furniture (7-year) 5/12/19
Way Corporation disposed of the following tangible personal property assets in the current year.
Asset | Date Acquired | Date Sold | Convention | Original Basis |
---|---|---|---|---|
Furniture (7-year) | 5/12/19 | 7/15/23 | HY | $ 117,500 |
Machinery (7-year) | 3/23/20 | 3/15/23 | MQ | 134,500 |
Delivery truck* (5-year) | 9/17/21 | 3/13/23 | HY | 70,000 |
Machinery (7-year) | 10/11/22 | 8/11/23 | MQ | 335,000 |
Computer (5-year) | 10/11/23 | 12/15/23 | HY | 130,000 |
*Used 100 percent for business.
Assume that the delivery truck is not a luxury auto. Calculate Way Corporation's 2023 depreciation deduction (ignore 179 expense and bonus depreciation for this problem). (Use MACRS Table 1, Table 2, and Exhibit 10-6.)
Note: Round your intermediate dollar calculations and final answer to the nearest whole dollar amount.
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