Question
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 | $ 87,500 |
| Machinery (7-year) | 3/23/20 | 3/15/23 | MQ | 104,500 |
| Delivery truck* (5-year) | 9/17/21 | 3/13/23 | HY | 46,000 |
| Machinery (7-year) | 10/11/22 | 8/11/23 | MQ | 303,800 |
| Computer (5-year) | 10/11/23 | 12/15/23 | HY | 106,000 |
*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).
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
Financial Management Of Health Care Organizations
Authors: William N. Zelman, Michael J. McCue, Noah D. Glick, Marci S. Thomas
4th Edition
111846656X, 978-1118466568
