Question
Your firm recently purchased an industrial machine costing $25705000. It is classified as a seven-year property under MACRS. What are the annual depreciation allowances and
Your firm recently purchased an industrial machine costing $25705000. It is classified as a seven-year property under MACRS. What are the annual depreciation allowances and end-of-the-year book values for this machine?
| Year | Beginning Book Value | 7 Year MACRS | Depreciation Allowance | Ending Book Value |
| 1 | 14.29% | 0.0 | 0.0 | |
| 2 | 24.49% | 0.0 | 0.0 | |
| 3 | 17.49% | 0.0 | 0.0 | |
| 4 | 12.49% | 0.0 | 0.0 | |
| 5 | 8.93% | 0.0 | 0.0 | |
| 6 | 8.92% | 0.0 | 0.0 | |
| 7 | 8.93% | 0.0 | 0.0 | |
| 8 | 4.46% | 0.0 | 0.0 |
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The Bank Analysts Handbook Money Risk And Conjuring Tricks
Authors: Stephen M. Frost
1st Edition
0470091185, 978-0470091180
