Your company has purchased a large new trucktractor for over-the-road use (asset class 00.26 ). It has a cost basis of $188,000. With additional options costing $15,000, the cost basis for depreciation purposes is $203,000. Its MV at the end of seven years is estimated as $43,000. Assume it will be depreciated under the GDS: a. What is the cumulative depreciation through the end of year two? b. What is the MACRS depreciation in the third 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 GDS Recovery Rates (rk). a. The cumulative depreciation through the end of year two is $. (Round to the nearest dollar.) b. The MACRS depreciation in the third year is $ (Round to the nearest dollar.) c. The BV at the end of year two is $ (Round to the nearest dollar.) \begin{tabular}{llrrr} \hline \multicolumn{1}{c}{ Descriptions of Assets } & Class Life & GDS & ADS \\ \hline 00.11 & Office furniture and equipment & 10 & 7 & 10 \\ 00.12 & Information systems, including computers & 6 & 5 & 5 \\ 00.22 & Automobiles, taxis & 3 & 5 & 5 \\ 00.23 & Buses & 9 & 5 & 9 \\ 00.241 & Light general purpose trucks & 4 & 5 & 5 \\ 00.242 & Heavy general purpose trucks & 6 & 5 & 6 \\ 00.26 & Tractor units for use over the road & 4 & 3 & 4 \\ 01.1 & Agriculture & 10 & 7 & 10 \\ 10.0 & 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 & Manufacture of aerospace products & 10 & 7 & 10 \\ 48.12 & Telephone central office equipment & 18 & 10 & 18 \\ 49.13 & Electric utility steam production plant & 28 & 20 & 28 \\ 49.21 & Gas utility distribution facilities & 35 & 20 & 35 \\ 79.0 & Recreation & 10 & 7 & 10 \\ \hline \end{tabular}