Determine the depreciation deduction during each of the years involved.
Chapter8: Depreciation, Cost Recovery, Amortization, And Depletion
Section: Chapter Questions
Problem 2BCRQ
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A permanent steel building used for the overhaul of dewatering systems (engines, pumps, and wellpoints) is placed in service on July 10 by a calendar-year taxpayer for $500,000. It is sold almost 5 years later on May 15.
Part a
What is the MACRS-GDS property class?
39-Year Property
Part b
Determine the depreciation deduction during each of the years involved.
|
EOY |
Depreciation Deduction |
|---|---|
| 0 | |
|
1
|
$enter a dollar amount |
|
2
|
$enter a dollar amount |
|
3
|
$enter a dollar amount |
|
4
|
$enter a dollar amount |
|
5
|
$enter a dollar amount |
|
6
|
$enter a dollar amount |
Part c
Determine the unrecovered investment during each of the years involved.
|
EOY |
Unrecovered investment |
|---|---|
| 0 | |
|
1
|
$enter a dollar amount |
|
2
|
$enter a dollar amount |
|
3
|
$enter a dollar amount |
|
4
|
$enter a dollar amount |
|
5
|
$enter a dollar amount |
|
6
|
$enter a dollar amount |
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