Question

In: Economics

You purchased a commercial building and land for $305,000 on February 1st, 2016. The land itself...

You purchased a commercial building and land for $305,000 on February 1st, 2016. The land itself was valued at $82,000 when purchased. You sold the land and building for $480,000 on March 27th of 2018. (a) What is the allowable tax depreciation amount for the year 2016? (b) What is the allowable tax depreciation amount for the year 2017? (c) What is the allowable tax depreciation amount for the year 2018?

Solutions

Expert Solution

Rahul Sunny answered 2 years ago
Next > < Previous

Related Solutions

You purchased a commercial building and land for $305,000 on February 1st, 2016. The land itself...
You purchased a commercial building and land for $305,000 on February 1st, 2016. The land itself was valued at $82,000 when purchased. You sold the land and building for $480,000 on March 27th of 2018. (a) What is the allowable tax depreciation amount for the year 2016? (b) What is the allowable tax depreciation amount for the year 2017? (c) What is the allowable tax depreciation amount for the year 2018?
You purchased a commercial building and land for $305,000 on February 1st, 2016. The land itself...
You purchased a commercial building and land for $305,000 on February 1st, 2016. The land itself was valued at $82,000 when purchased. You sold the land and building for $480,000 on March 27th of 2018. (a) What is the allowable tax depreciation amount for the year 2016? (b) What is the allowable tax depreciation amount for the year 2017? (c) What is the allowable tax depreciation amount for the year 2018?
7) You purchased a commercial building and land for $305,000 on May 3rd, 2014. The land...
7) You purchased a commercial building and land for $305,000 on May 3rd, 2014. The land itself was valued at $82,000 when purchased. You sold the land and building for $480,000 on February 15th of 2016. (a) What is the allowable tax depreciation amount for the year 2014? (b) What is the allowable tax depreciation amount for the year 2015? (c) What is the allowable tax depreciation amount for the year 2016?
On 1st January, 2016, a building materials manufacturing company in Oman purchased a farm land from...
On 1st January, 2016, a building materials manufacturing company in Oman purchased a farm land from the outskirts of Al Dhakliyah region. The cost of the property was OMR 675,000 and the company has made the settlement in full. The property tax of OMR 36,000 was due from the previous owner of the farm was paid by the company. All the legal costs relating to the acquisition of land was OMR 5,400. The old building in the farm land was...
You purchased a commercial building and lot for $210,000 on May 3th, 2014. The lot itself...
You purchased a commercial building and lot for $210,000 on May 3th, 2014. The lot itself was valued at $70,000 when purchased. You sold the lot and building for $350,000 on Feb 15th of 2015. Use MACRS depreciation and note that this property is considered non-residential real property. What are your allowable tax depreciation amounts for those two years? 2014__________________________________________ 2015__________________________________________
Carver Inc. purchased a building and the land on which the building is situated for a...
Carver Inc. purchased a building and the land on which the building is situated for a total cost of $808,800 cash. The land was appraised at $167,422 and the building at $762,698. Required a. What is the accounting term for this type of acquisition? b. Determine the amount of the purchase cost to allocate to the land and the amount to allocate to the building. c. Would the company recognize a gain on the purchase? d. Record the purchase in...
Carver er Inc. purchased a building and the land on which the building is situated for...
Carver er Inc. purchased a building and the land on which the building is situated for a total cost of $963100 cash. The land was appraised at $210.437 and the building at $897128. Required a. What is the accounting term for this type of acquisition? b. Determine the amount of the purchase cost to allocate to the land and the amount to allocate to the building c. Would the company recognize a gain on the purchase? d. Record the purchase...
"You purchased a commercial building and lot for $720,000 on December 15th of 2013. The lot...
"You purchased a commercial building and lot for $720,000 on December 15th of 2013. The lot itself was valued at $100,000 when purchased. You sold the lot and building on June 15th of 2018. Use MACRS depreciation and note this property is non-residential real property (39 year life). What is your allowable taxable depreciation amount for year 2013?"
16.Hercules Company purchased a land and a building for $350,000. The fair value of the land...
16.Hercules Company purchased a land and a building for $350,000. The fair value of the land was $240,000 and the fair value of the building was $160,000. Determine the amount at which Hercules will record the land. Question 16 options: a. $210,000 b. $140,000 c. $240000 d. $160,000 e. $350,000 17. Timeton Inc. and Roseton Inc. purchases identical assets for $850,000 each. The assets of both the companies are estimated to have same life. However, Timeton estimates the residual value...
Kessel Company purchased a building and land with a fair market value of $550,000 (building, $350,000...
Kessel Company purchased a building and land with a fair market value of $550,000 (building, $350,000 and​ land, $200,000​) on January​ 1, 2018. Kessel signed a 20​-year, 6​% mortgage payable. Kessel will make monthly payments of $3,940.37. Round to two decimal places. Explanations are not required for journal entries. Requirements Journalize the mortgage payable issuance on January​ 1, 2018. Prepare an amortization schedule for the first two payments Journalize the first payment on January​ 31, 2018. Journalize the second payment...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT