Your company has purchased a large new trucktractor for over-the-road use (asset class 00.26). It has a cost basis of $172,000. Win anational options costing $16,000, the cost basis for depreciation purposes is $188,000 MV and f six years is estimated as $42,000 Assume it will be depreciated under the GOS a. What is the cumulative depreciation through the end of year two? b. What is the MACRS depreciation in the second year? c. What is the BV at the end of year two? Click the icon to view the partial listing of depreciable assets used in business. Click the icon to view the GOS Recovery Rates) a. The cumulative depreciation through the end of year two is $ound to the nearest dotar) b. The MACRS depreciation in the second year is (Round to the nearest dollar) e. The BV at the end of year two is (Round to the nearest dolor.) More Info GDS Recovery Rates (r) for the Six Personal Property Classes Recovery Period (and Property Class) Year 3-year 5-year 7-year 10-year 15-yearb 20-yearb 1 0.3333 0.2000 0.1429 0.1000 0.0500 0.0375 22 2 0.4445 0.3200 0.2449 0.1800 0.0950 0.0722 3 0.1481 0.1920 0.1749 0.1440 0.0855 0.0668 4 0.0741 0.1152 0.1249 0.1152 0.0770 0.0618 5 0.1152 0.0893 0.0922 0.0693 0.0571 6 0.0576 0.0892 0.0737 0.0623 0.0528 7 0.0893 0.0655 0.0590 0.0489 8 0.0446 0.0655 0.0590 0.0452 9 0.0656 0.0591 0.0447 10 0.0655 0.0590 0.0447 11 0.0328 0.0591 0.0446 12 0.0590 0.0446 13 0.0591 0.0446 14 0.0590 0.0446 15 0.0591 0.0446 16 17 18 19 20 21 0.0295 0.0446 0.0446. 0.0446 0.0446 0.0446 0.0223 - X I x l be the e nd ye MACRS Class Lives and Recovery Periods depre Asset Class Descriptions of Assets Rates 00.11 Office furniture and equipment 00.12 00.22 Information systems, including computers Automobiles, taxis 00.23 Buses 00.241 d of y Light general purpose trucks 00.242 Heavy general purpose trucks 163946 Class Life GDS 10 7 10 Recovery Periods ADS 5695 55555 6 00.26 Tractor units for use over the road 4 3 4 ar is $ 01.1 Agriculture 10 7 10 10.0 und to 1 Mining 10 7 10 13.2 Production of petroleum and natural gas 14 7 14 13.3 Petroleum refining 16 10 16 15.0 Construction 6 5 6 22.3 Manufacture of carpets 9 5 9 24.4 Manufacture of wood products and furniture 10 7 10 28.0 Manufacture of chemicals and allied products 9.5 5 9.5 30.1 Manufacture of rubber products 14 7 14 32.2 Manufacture of cement 20 15 20 34.0 Manufacture of fabricated metal products 12 7 12 36.0 Manufacture of electronic components, products, and systems 6 5 6 37.11 Manufacture of motor vehicles 12 7 12 37.2 48.12 Manufacture of aerospace products 10 7 10 Telephone central office equipment 18 10 18 49.13 Electric utility steam production plant 28 20 28