Year | MACRS | Depreciation | Cumulative depreciation | Book value |
1 | 20 | 75600 | 75600 | 302400 |
2 | 32 | 120960 | 196560 | 181440 |
3 | 19.2 | 72576 | 269136 | 108864 |
4 | 11.52 | 43545.6 | 312681.6 | 65318.4 |
5 | 11.52 | 43545.6 | 356227.2 | 21772.8 |
6 | 5.76 | 21772.8 | 378000 | 0 |
Book value at year 3 = 108864
Book value at year 5 = 21772.8
Book value at year 6 = 0
Problem 16.028: Calculate BV for different years using the MACRS method An automated assembly robot that...
An automated assembly robot that cost $400,000 has a depreciable life of 5 years with a $100,000 salvage value. The MACRS depreciation rates for years 1, 2, and 3 are 20%, 32% and 19.2% respectively. What is the book value at the end of year 6? Group of answer choices a 0.192% b $23,040 c $115,200 d $0.00
An automated assembly robot that cost $400,000 has a depreciable life of 5 years with a $100,000 salvage value. The MACRS depreciation rates for years 1, 2, and 3 are 20%, 32% and 19.2% respectively. What is the book value at the end of year 6? Group of answer choices a 0.192% b $23,040 c $115,200 d $0.00
You just purchased some equipment that is classified as 5-year property for MACRS. The equipment cost $173,000. What will the book value of this equipment be at the end of 4 years should you decide to resell the equipment at that point in time? Do not include the $ sign, and round it to a whole dollar. MACRS 5-year property Year Rate 1 20.00% 2 32.00% 3 19.20% 4 11.52% 5 11.52% 6 5.76%
You just purchased some equipment that is classified as 5-year property for MACRS. The equipment cost $79,000. What will the book value of this equipment be at the end of two years should you decide to resell the equipment at that point in time? MACRS 5-year Property Year Rate 1 20.00% 2 32.00% 3 19.20% 4 11.52% 5 11.52% 6 5.76% Group of answer choices $56,248 $41,080 $37,920 $5,056 $22,752
show work You own some equipment that you purchased 3 years ago at a cost of $350,000. The equipment is 5-year property for MACRS. You are considering selling the equipment today for $123,000. Which one of the following statements is correct if your tax rate is (40%? initial : 350,000 MACRS 5-year property Year Rate 20.00% 32.00% 19.20% 11.52% 11.52% 5.76% 0 straight line 350,000 - 123,000 w @ a. The tax due on the sale is $26,425 b. The...
Bernie's Beverages purchased some fixed assets classified as 5-year property for MACRS. The assets cost $28,000. What will the accumulated depreciation be at the end of year three? MACRS 5-year property Year Rate 1 20.00% 2 32.00% 3 19.20% 4 11.52% 5 11.52% 6 5.76%
Consider the following MACRS Table for a 5-year asset. If an asset is purchased for $100,000; with a shipping and istallation cost of $10,000 and an expected salvage value of $20,000; what is the depreciation expense in the second year? I need to know the steps with a BA ll plus calculator if needed. Year Exp. Ratio 1 20.00 2 32.00 3 19.20 4 11.52 5 11.52 6 5.76 $ 35,200.00 $ 32,000.00 $ 28,800.00 $ 25,600.00
***********I NEED JUST PART E************ Thanks in advance!!! An oil refinery has decided to purchase some new drilling equipment for $550,000. The equipment will be kept for 10 years before being sold. The estimated salvage value (SV) for depreciation purposes is to be $25,000. Use this information to solve the following questions: a) Using the straight line (SL) method, the annual depreciation on the equipment is b) Using the double declining balance (DDB) method, the depreciation charge in year 3...
An oil refinery has decided to purchase some new drilling equipment for $550,000. The equipment will be kept for 10 years before being sold. The estimated salvage value (SV) for depreciation purposes is to be $25,000. Use this information to solve the following questions: a) Using the straight line (SL) method, the annual depreciation on the equipment is _________________. b) Using the double declining balance (DDB) method, the depreciation charge in year 3 is ______________. c) Using the SL method,...
Your firm needs a computerized machine tool lathe which costs $53,248 and requires $11,108 in maintenance expense for each year of its 5-year life. After five years, this machine will be replaced. The machine falls into the MACRS (Links to an external site.) 5-year class life category. Assume a tax rate of 25 percent and a discount rate of 12 percent. If the lathe can be sold for $16,668 at the end of year 5, what is the after-tax salvage...