Tampa Corporation sold the following assets in 2016:

a The half-year convention was used in the year of acquisition. Tampa did not claim Sec. 179 expense or bonus depreciation during the acquisition years.
a. What is the depreciation deduction for each asset in 2016?
b. Compute the gain or loss on each asset sold.

Transcribed Image Text:

Original Depreciation Recovery Date Cost Cost-Recovery Period Sales Price Acquired Date Sold Basis Method Years) Automobile Equipment Building /1/13 12/1/16 $ 9,000 MACRS 1/6/13 9/1/1620,000 MACRS 4/1/06 12/10/16 100,000 MACRS 5 1,200 9,500 39 240,000 7 (nonresidental)