Question
In: Accounting
Assume that ACW Corporation has 2020 taxable income of $1,540,000 for purposes of computing the §179...
Assume that ACW Corporation has 2020 taxable income of $1,540,000 for purposes of computing the §179 expense. The company acquired the following assets during 2020 (assume no bonus depreciation): (Use MACRS Table 1, Table 2, and Table 5).
| Asset | Placed in Service | Basis | |
| Machinery | 12 September | $ | 474,000 |
| Computer equipment | 10 February | 74,000 | |
| Delivery truck | 21 August | 97,000 | |
| Qualified improvement property | 2 April | 1,384,000 | |
| Total | $ | 2,029,000 | |
- What is the maximum amount of §179 expense ACW may deduct for 2020?
- What is the maximum total depreciation that ACW may deduct in 2020 on the assets it placed in service in 2020? (Round your intermediate calculations and final answer to the nearest whole dollar amount.)
Solutions
ekkarill92 answered 1 year agoRelated Solutions
Chaz Corporation has taxable income in 2020 of $372,000 for purposes of computing the §179 expense...
Chaz Corporation has taxable income in 2020 of $372,000 for
purposes of computing the §179 expense and acquired the following
assets during the year:
Placed in
Asset
Service
Basis
Office furniture
September 12
$
681,000
Computer equipment
February 10
936,000
Delivery truck
August 21
68,000
Qualified improvement property
September 30
1,537,000
Total
$
3,222,000
What is the maximum total depreciation deduction that
Chaz may deduct in 2020? (Use MACRS Table 1, Table 2, Table 3,
Table 4 and Table 5.)...
Assume that Timberline Corporation has 2019 taxable income of $270,000 for purposes of computing the §179...
Assume that Timberline Corporation has 2019 taxable income of
$270,000 for purposes of computing the §179 expense. It acquired
the following assets in 2019: (Use MACRS Table 1, Table 2, Table 3,
Table 4 and Table 5.)
Purchase
Asset
Date
Basis
Furniture (7-year)
December 1
$
480,000
Computer equipment (5-year)
February 28
120,000
Copier (5-year)
July 15
60,000
Machinery (7-year)
May 22
510,000
Total
$
1,170,000
Required:
a-1. What is the maximum amount of §179 expense
Timberline may deduct for...
Assume that Timberline Corporation has 2019 taxable income of $244,000 for purposes of computing the §179...
Assume that Timberline Corporation has 2019 taxable income of
$244,000 for purposes of computing the §179 expense. It acquired
the following assets in 2019: (Use MACRS Table 1, Table 2, Table 3,
Table 4 and Table 5.)
Purchase
Asset
Date
Basis
Furniture (7-year)
December 1
$
454,000
Computer equipment (5-year)
February 28
94,000
Copier (5-year)
July 15
34,000
Machinery (7-year)
May 22
484,000
Total
$
1,066,000
b. What would Timberline’s maximum depreciation
deduction be for 2019 assuming no bonus depreciation?...
Assume that Timberline Corporation has 2018 taxable income of $242,000 for purposes of computing the §179...
Assume that Timberline Corporation has 2018 taxable income of
$242,000 for purposes of computing the §179 expense. It acquired
the following assets in 2018: (Use MACRS Table 1, Table 2, Table 3,
Table 4 and Table 5.)
Purchase
Asset
Date
Basis
Furniture (7-year)
December 1
$
452,000
Computer equipment (5-year)
February 28
92,000
Copier (5-year)
July 15
32,000
Machinery (7-year)
May 22
482,000
Total
$
1,058,000
Required:
a-1. What is the maximum amount of §179 expense
Timberline may deduct for...
Assume that Timberline Corporation has 2019 taxable income of $244,000 for purposes of computing the §179...
Assume that Timberline Corporation has 2019 taxable income of
$244,000 for purposes of computing the §179 expense. It acquired
the following assets in 2019: (Use MACRS Table 1, Table 2, Table 3,
Table 4 and Table 5.)
Purchase
Asset
Date
Basis
Furniture (7-year)
December 1
$
454,000
Computer equipment (5-year)
February 28
94,000
Copier (5-year)
July 15
34,000
Machinery (7-year)
May 22
484,000
Total
$
1,066,000
b. What would Timberline’s maximum depreciation
deduction be for 2019 assuming no bonus depreciation?...
Assume that Sivart Corporation has 2017 taxable income of $750,000 for purposes of computing the §179...
Assume that Sivart Corporation has 2017 taxable income of
$750,000 for purposes of computing the §179 expense and acquired
the following assets during 2017: (Use MACRS Table 1, Table 2,
Table 3, Table 4 and Table 5.) Placed in Asset Service Basis
Machinery October 12 $1,440,000
Computer equipment February 10 70,000
Delivery Truck-used August 21 93,000
Furniture April 2 310,000
Total $ 1,913,000
b. What is the maximum total depreciation expense (§179, bonus,
MACRS) that Sivart may deduct in 2017...
Assume that ACW Corporation has 2018 taxable income of $1,040,000 for purposes of computing the §179...
Assume that ACW Corporation has 2018 taxable income of
$1,040,000 for purposes of computing the §179 expense. The company
acquired the following assets during 2018 (assume no bonus
depreciation): (Use MACRS Table 1, Table 2, and Table 5).
Machinery
12-Sep
$
474,000
Computer equipment
10-Feb
74,000
Delivery truck
21-Aug
97,000
Qualified improvement property
2-Apr
1,384,000
Total
$
2,029,000
What is the maximum amount of §179 expense ACW may deduct for
2018?
What is the maximum total depreciation that ACW may...
AMP Corporation (calendar-year-end) has 2020 taxable income of $1,900,000 for purposes of computing the §179 expense....
AMP Corporation (calendar-year-end) has 2020 taxable income of
$1,900,000 for purposes of computing the §179 expense. During 2020,
AMP acquired the following assets:
Placed in
Asset
Service
Basis
Machinery
September 12
$
1,320,000
Computer equipment
February 10
380,000
Office building
April 2
495,000
Total
$
2,195,000
1.What is the maximum amount of §179 expense AMP may deduct for
2020?
2.What is the maximum total depreciation, including §179
expense, that AMP may deduct in 2020 on the assets it placed in...
AMP Corporation (calendar-year-end) has 2020 taxable income of $1,900,000 for purposes of computing the §179 expense....
AMP Corporation (calendar-year-end) has 2020 taxable income of
$1,900,000 for purposes of computing the §179 expense. During 2020,
AMP acquired the following assets: (Use MACRS Table 1, Table 2,
Table 3, Table 4 and Table 5.)
Placed in
Asset
Service
Basis
Machinery
September 12
$
1,300,000
Computer equipment
February 10
370,000
Office building
April 2
485,000
Total
$
2,155,000
a. What is the maximum amount of §179 expense
AMP may deduct for 2020?
b. What is the maximum total depreciation,...
Chaz Corporation has taxable income in 2017 of $361,000 for purposes of computing the §179 expense...
Chaz Corporation has taxable income in 2017 of $361,000 for
purposes of computing the §179 expense and acquired the following
assets during the year:
Placed in Asset Service Basis
Office furniture September 12 $ 1,200,000
Computer equipment February 10 920,000
Delivery truck August 21 60,000
Total $ 2,180,000
What is the maximum total depreciation expense that Chaz may
deduct in 2017?
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