Chap 9 Depreciation Quiz

Chap 9 Depreciation Quiz - 2) How much 179 expense can Acme...

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Acme, Inc. has $600,000 of taxable income prior to any “179” expense in 2009, Acme purchases and places the following assets into service: 5/2/09 computers 5-yr $380,000 7/6/09 building 39-yr $800,000 10/12/09 machines 7-yr $475,000 1) What is Acme’s max 179 deduction for 2009? 250,000 – (855,000 – 800,000) = 195,000
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Unformatted text preview: 2) How much 179 expense can Acme carry over to 2010? $0 3) What is Acmes max potential depreciation deduction for 2009 for the personal property? $299,996 (475K 195K)/(855K 195K) = 429K 4) What is Acmes max potential depreciation deduction for real property? 800,000 (x) 1.117% = $8,936...
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