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In: Economics

A small company has purchased Section 179-qualifying assets for $730,000 during the year. How much money...

A small company has purchased Section 179-qualifying assets for $730,000 during the year. How much money will be saved in taxes during year 1 if the following data apply: Depreciation in year 1 if Section 179 is NOT used = $182,500
Loan repayment = $65,000
Interest payment on loan = $19,000

$136,875

$115,875

$244,375

$182,500

Solutions

Expert Solution

The correct answer for the above question is option A , $1,36,875

For which we have to subtract the loan payment and interest payment on loan from $1,82,500

Rahul Sunny answered 2 years ago
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