Holly Jolly Inc. purchased the following three assets this year. They were purchased and put into...
Holly Jolly Inc. purchased the following three assets this year. They were purchased and put into service according to the table below. What is Holly Jolly Inc. tax depreciation expense for year 1 and year 2 Office furniture, delivery truck reindeer sleigh), and word drill press (toy maker) Asset Purchase & Placed in Service Date Quarter Original Basis Rate for year 1 Rate year Depreciation Year Year 1 I Feb. 6 $20,000 Office Equipment (7y Delivery truck (5 Nov. 7...
Convers Corporation (calendar-year-end) acquired the following assets during the current tax year: (ignore §179 expense and bonus depreciation for this problem): (Use MACRS Table 1, Table 2, and Table 5.) Date Placed Original Asset in Service Basis Machinery 25-Oct $ 78,000 Computer equipment 03-Feb $ 18,000 Used delivery truck* 17-Mar $ 31,000 Furniture 22-Apr $ 158,000 Total $ 285,000 *The delivery truck is not a luxury automobile. In addition to these assets, Convers installed new flooring (qualified improvement property) to...
Transactions for Fixed Assets, Including Sale The following transactions and adjusting entries were completed by Robinson Furniture Co. during a three-year period. All are related to the use of delivery equipment. The double-declining-balance method of depreciation is used. Year 1 Jan. 8. Purchased a used delivery truck for $38,400, paying cash. Mar. 7. Paid garage $180 for changing the oil, replacing the oil fiter, and tuning the engine on the delivery truck. Dec. 31. Recorded depreciation on the truck for...
Transactions for Fixed Assets, Including Sale The following transactions and adjusting entries were completed by Robinson Furniture Co. during a three-year period. All are related to the use of delivery equipment. The double-declining-balance method of depreciation is used. Year 1 Jan. 8. Purchased a used delivery truck for $77,760, paying cash. Mar. 7. Paid garage $120 for changing the oil, replacing the oil filter, and tuning the engine on the delivery truck. Dec. 31. Recorded depreciation on the truck for...
Transactions for Fixed Assets, Including Sale The following transactions and adjusting entries were completed by Robinson Furniture Co. during a three-year period. All are related to the use of delivery equipment. The double-declining-balance method of depreciation is used. Year 1 Jan. 8. Purchased a used delivery truck for $61,440, paying cash. Mar. 7. Paid garage $220 for changing the oil, replacing the oil filter, and tuning the engine on the delivery truck. Dec. 31. Recorded depreciation on the truck for...
The following transactions and adjusting entries were completed by Legacy Furniture Co during a three-year period. Al are related to the use of delivery equipment. The double declining balance method of depreciation is used. Year 1 Jan. 4. Nov. 2 Dec 31 Purchased a used delivery truck for $28,400, paying cash. Paid garage 5710 for miscellaneous repairs to the truck Recorded depreciation on the truck for the year. The estimated useful fe of the truck is four year a residual...
............. Transactions for Fixed Assets, Including Sale The following transactions and adjusting entries were completed by Robinson Furniture Co. during a three-year period. All are related to the use of delivery equipment. The double-declining-balance method of depreciation is used. Year 1 Jan. 8. Purchased a used delivery truck for $48,600, paying cash. Mar. 7. Paid garage $130 for changing the oil, replacing the oil filter, and tuning the engine on the delivery truck. Dec. 31. Recorded depreciation on the truck...
Required information Convers Corporation (calendar-year-end) acquired the following assets during the current tax year: (ignore $179 expense and bonus depreciation for this problem): (Use MACRS Table 1. Table 2 and Table 5.) Asset Machinery Computer equipment Used delivery truck Furniture Total Date Placed in Service October 25 February 3 March 17 April 22 Original Basis $ 72,000 $ 12,000 $ 25,000 $152,000 $ 261,000 *The delivery truck is not a luxury automobile. In addition to these assets, Convers installed new...
The following transactions and adjusting entries were completed by Legacy Furniture Co. during a three-year period. All are related to the use of delivery equipment. The double-declining-balance method of depreciation is used. Year 1 Jan. 4. Purchased a used delivery truck for $27,200, paying cash. Nov. 2. Paid garage $630 for miscellaneous repairs to the truck. Dec. 31. Recorded depreciation on the truck for the year. The estimated useful life of the truck is four years, with a residual value...
QUESTIONS Dain's Diamond Bit Driling purchased the following assets this year. Assume its taxable income for the year was 563.000 before deducting any 5179 expense (assume no bonus depreciation) Asset Drill Bits (5 year) Drill Bits (5-year) Commercial Building Purchase Date January 25 July 25 April 22 Original Basis $90,000 95,000 220,000 What is the maximum amount of $179 expense Dain may deduct for the year QUESTIONS Assume that ACW Corporation has 2020 taxable income of 1.400.000 before the $179...