Question


Production equipment used in the bottling of soft drinks (MACRS-GDS, 10-year property) is purchased and installed for $500,00
0 0
Add a comment Improve this question Transcribed image text
Answer #1

From the MACRS-aDS table, the rate of depreciation for ist year of k-year peroperty is 10.004. – 0.10 & Depreciation Deductio

Kindly upvote:)

Add a comment
Know the answer?
Add Answer to:
Production equipment used in the bottling of soft drinks (MACRS-GDS, 10-year property) is purchased and installed...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Please explain in detail. Material-handling equipment used in the manufacture of grain products (MACRS-GDS 10-year property)...

    Please explain in detail. Material-handling equipment used in the manufacture of grain products (MACRS-GDS 10-year property) is purchased and installed for $180,000. It is placed in service in the middle of the tax year. If it is removed just before the end of the tax year approximately 4.5 years from the date placed in service, determine the depreciation deduction during each of the tax years involved using MACRS-GDS allowances.

  • In 2016, Olga Co. purchased a piece of business-use equipment for $100,000. The equipment has a...

    In 2016, Olga Co. purchased a piece of business-use equipment for $100,000. The equipment has a 7-year MACRS GDS recovery period and is depreciated under MACRS GDS (no SL election). The equipment was placed in service on September 10, 2016. This was the only asset that Olga Co. placed in service in 2016. Olga Co. did not elect Section 179 deduction and elected out of Section 168(k) bonus depreciation. What is Olga Co.'s depreciation deduction for 2016 (the year the...

  • E Co. purchased and placed in service the following assets in 2020:1. Computer (5-year property) purchased...

    E Co. purchased and placed in service the following assets in 2020:1. Computer (5-year property) purchased for $3,000,000 and placed in service on June 30, 2020;2. Tractor unit for use over the road (3-year property) purchased for $2,000,000 and placed in service on September 30, 2020;3. Equipment (7-year property) purchased for $5,000,000 and placed in service on October 1, 2020. All assets are depreciated under MACRS GDS (no SL election). E Co. is not eligible for179 expenses (phased out), and...

  • In 2016, Olga Co. purchased a piece of business-use equipment for $100,000. The equipment has a...

    In 2016, Olga Co. purchased a piece of business-use equipment for $100,000. The equipment has a 7-year MACRS GDS recovery period and is depreciated under MACRSGDS (no SL election). The equipment was placed in service on September 10, 2016. This was the only asset that Olga Co. placed in service in 2016. Olga Co. did not elect Section179 deduction and elected out of Section 168(k) bonus depreciation. Olga Co. sold the equipment on February 1, 2019. What is Olga Co.'s...

  • A high-precision programmable router for shaping furniture components (manufacturing equipment) is purchased by Henredon for $240,000....

    A high-precision programmable router for shaping furniture components (manufacturing equipment) is purchased by Henredon for $240,000. It is expected to last 12 years. Calculate the depreciation deduction and book value for each year using MACRS-GDS allowances. a. What is the MACRS-GDS property class? (format example: 3 year) Calculate the depreciation deduction using MACRS-GDS allowances for year 5 = $. Please provide your response to the nearest integer with no comma or $ sign. Calculate the book value using MACRS-GDS allowances...

  • Question 3 (40 points) A high-precision programmable router for shaping furniture components (manufacturing equipment) is purchased...

    Question 3 (40 points) A high-precision programmable router for shaping furniture components (manufacturing equipment) is purchased by Henredon for $240,000. It is expected to last 12 years. Calculate the depreciation deduction and book value for each year using MACRS-GDS allowances. a. What is the MACRS-GDS property class? (format example: 3 year) Calculate the depreciation deduction using MACRS-GDS allowances for year 5 = $. Please provide your response to the nearest integer with no comma or $ sign. Calculate the book...

  • In 2016, Oliver Co. purchased a business-use asset for $100,000. The asset has a 5-year ACS...

    In 2016, Oliver Co. purchased a business-use asset for $100,000. The asset has a 5-year ACS GDS recovery period and is depreciated under MACRS GDS (no SL election). The asset was placed in service on October 10, 2016. This was the only asset that Oliverio. placed in service in 2016. Oliver Co. did not elect Section 179 deduction and elected out of Section 168(k) bonus depreciation. Oliver Co. sold the asset on February 1, 2019. What is the Oliver Co....

  • In 2020, Oscar Co. purchased a piece of business-use equipment for $1,000,000. The equipment has a...

    In 2020, Oscar Co. purchased a piece of business-use equipment for $1,000,000. The equipment has a 7-year MACRS GDS recovery period and is depreciated under MACRSGDS (no SL election). The equipment was placed in service on September 10, 2020. This was the only asset that Oscar Co. placed in service in 2020. Oscar Co. did not electSection 179 deductions. Oscar Co. did not elect out of Section 168(k) bonus depreciation. What will Oscar’s depreciation deduction be for 2021?

  • In 2020, Oscar Co. purchased a piece of business-use equipment for $1,000,000. The equipment has a...

    In 2020, Oscar Co. purchased a piece of business-use equipment for $1,000,000. The equipment has a 7-year MACRS GDS recovery period and is depreciated under MACRSGDS (no SL election). The equipment was placed in service on September 10, 2020. This was the only asset that Oscar Co. placed in service in 2020. Oscar Co. did not electSection 179 deductions. Oscar Co. did not elect out of Section 168(k) bonus depreciation. What is Oscar Co.'s total depreciation deduction for 2020?

  • You just purchased some equipment that is classified as 5-year property for MACRS. The equipment cost...

    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%

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT