Electric generating and transmission equigment is placed in service at a cost of $3,250,000. It is expected to last 30 years with asalvage value of $250,000.Click here to access the MACRS-GDS Property ClassesPart aYour answer is correctWhat is the MACRS-GDS property class?20-Year PropertyAttempts: 1 of 3 usedPart bDetermine the depreciation deduction and the unrecovered investment during each of the first 4 tax years.Unrecovered InvestmentEOYDepreciation Deduction%24234.Carry all Interim calculations to 5 decimal places and then round your final answer to the nearest dollar. The tolerance is 100.%24

A decrease in an asset's value known as depreciation can be brought on by a variety of additional…

Electric generating and transmission equipment is placed in service at a cost of $3,250,000. It is expected to last 30 years with a salvage value of $250,000. Click here to access the MACRS-GDS Property Classes Part a What is the MACRS-GDS property class? 20-Year Property Part b 0 1 Your answer is correct Determine the depreciation deduction and the unrecovered investment during each of the first 4 tax years. Unrecovered Investment EOY Depreciation Deduction 2 3 M 10 $ $ 4 $ 16 S $ Attempts: 1 of 3 used $ $ Carry all interim calculations to 5 decimal places and then round your final answer to the nearest dollar. The tolerance is ±100.

Electric generating and transmission equipment is placed in service at a cost of $3,250,000. It is expected to last 30 years with a salvage value of $250,000. Click here to access the MACRS-GDS Property Classes Part a What is the MACRS-GDS property class? 20-Year Property Part b 0 1 Your answer is correct Determine the depreciation deduction and the unrecovered investment during each of the first 4 tax years. Unrecovered Investment EOY Depreciation Deduction 2 3 M 10 $ $ 4 $ 16 S $ Attempts: 1 of 3 used $ $ Carry all interim calculations to 5 decimal places and then round your final answer to the nearest dollar. The tolerance is ±100.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter11: Long-term Assets

Section: Chapter Questions

Problem 11EA: The following intangible assets were purchased by Goldstein Corporation: A. A patent with a...

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The following intangible assets were purchased by Goldstein Corporation: A. A patent with a remaining legal life of twelve years is bought, and Goldstein expects to be able to use it for seven years. B. A copyright with a remaining life of thirty years is purchased, and Goldstein expects to be able to use it for ten years. For each of these situations, determine the useful life over which Goldstein will amortize the intangible assets.
Refer to Exhibit 12.4 in the text. What is the depreciation expense deduction in each of 4 years for a$10,000 asset classified under MACRS as 3-year property?
A project requires $428,000 of equipment that is classified as seven-year property. What is the depreciation expense in Year 3 giverz the following MACRS depreciation allowances, starting with Year 1: 14 29 24 49 1749, 12.49, 8.93, 8.92, 8.93, and 4.46 percent? Multiple Choice O $48.447.30 O $89,038.42 $56,03815
A tractor for over-the-road hauling is purchased for $90,000. It is expected to be of use to the company for 6 years, after which it will be salvaged for $4,000. Calculate the depreciation deduction and the unrecovered investment during each year of the tractor's life using MACRS-GDS allowances. a. What is the MACRS-GDS property class? ANSWER b. Assume the tractor is used for the full 6 years ANSWER of use. c. Assume the tractor is sold during the 4th year ANSWER d. Assume the tractor is sold during the 3rd year of use.
Electric generating and transmission equipment is placed in service at a cost of $3,400,000. It is expected to last 30 years with a salvage value of $250,000. Part a What is the MACRS-GDS property class? 20-Year Property V Show Transcribed Text 0 Determine the depreciation deduction and the unrecovered investment during each of the first 4 tax years. ΕΟΥ Depreciation Deduction Unrecovered Investment 1 Your answer is correct. 2 3 4 $ $ $ $ $ $ $ 3 $
Consider a five-year MACRS asset purchasedat $80,000. (Note that a five-year MACRS propertyclass is depreciated over six years due to the half-yearconvention. The applicable salvage values would be$40,000 in year 3, $30,000 in year 5, and $10,000 inyear 6.) Compute the gain or loss amounts when theasset is disposed of in(a) Year 3.(b) Year 5.(c) Year 6
Electric generating and transmission equipment is placed in service at a cost of $3,000,000. It is expected to last 30 years with a salvage value of $250,000.a. What is the MACRS-GDS property class? b. Determine the depreciation deduction and the unrecovered investment during each of the first 4 tax years.
A company purchased an asset for $3,700.000 that will be used in a 3-year project. The asset is in the 3-year MACRS class. The depreciation percentage each year is 33.33 percent. 44.45 percent, and 14.81 percent, respectively What is the book value of the equipment at the end of the project? Multiple Choice $3.425.830 $274,170 $2.466,790
A 7 year property class asset was purchased for $115,000. The owner took depreciation charges using MACRS each year. The asset was sold at a market value of $122,200 at the end of the third year. The book value at the end of the third year? i. $70,400 ii. $65,087 iii. $50,290 iv. $43,446 v. $35,900 Please use excel and show formulas.
Using the MACRS table in your sildes covering chapters 9-11 and for an asset purchased at a cost of $200.000 and considered class 7, what is the MACRS depreciation for years two through five? a) Second year: b) Third year: d) Fourth year: d) Fifth year:
The depreciation deduction for year 11 of a 15-year property with a 20-year class life is $4,000. If the salvage value of the asset is estimated to be $5,000 and MACRS-GDS is used to calculate the depreciation deduction for year 11, what was the initial cost of the asset? a. $42,105 b. $67,682 c. $72,682 d. $80,000.
An asset was purchased and installed for $277,685. The asset is classified as MACRS 7-year property. Its useful life is 10 years. The estimated salvage value at the end of 10 years is $28,167. Using MACRS depreciation, the first year depreciation is: Enter your answer as: 123456.78