Ask Question
BusinessBusiness
30 July, 01:01

An asset (not an automobile) placed in service in June 2018 has a depreciable basis of $35,000 and a recovery period of 5 years. Assuming bonus depreciation is used, a half-year convention, and no expensing election, what is the maximum amount of cost that can be deducted in 2018?

+4
Answers (1)
  1. 30 July, 01:15
    0
    The Cost that can be deducted will be $3,500

    Explanation:

    Bonus Depreciation=$35,000*50%=$17,500

    Now cost deductible in 2018 will be=$17,500/5=$3,500

    Currently 50% bonus depreciation being deducted on assets as per new rulings.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “An asset (not an automobile) placed in service in June 2018 has a depreciable basis of $35,000 and a recovery period of 5 years. Assuming ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
Keynesians a. advocate for a laissez-faire approach. b. believe that equilibrium may exist at less than full employment. c. believe in the use of fiscal policy to stabilize the economy. d. b and c e. all of the above
Answers (1)
The Holmes Company's currently outstanding bonds have an 8% coupon and an 11% yield to maturity. Holmes believes it could issue new bonds at par that would provide a similar yield to maturity.
Answers (1)
Firms that use cotton as their key factor of production in producing t-shirts also have the ability to use their factors of production to produce sweatshirts instead.
Answers (1)
A problem with the cpi is that it measures the price of only food and clothing while ignoring what happens to the prices to such important items as mediacal care and energy?
Answers (1)
Suppose that Dr. Reilly owns a medical clinic and he enters into a contract to buy 500 tablets of Gensol from Pharzime. The Gensol that he orders are 200 milligrams each.
Answers (1)
New Questions in Business
During a certain four-year period, the consumer price index (CPI) increased by 30%, but during the next four-year period, it increased by only 10%. Which of these conditions must have existed during the second four-year period? A. Deflation B.
Answers (2)
Flagstaff Company has budgeted production units of 7,900 for July and 8,100 for August. The direct materials requirement per unit is 2 ounces (oz.).
Answers (1)
Name and describe the four basic types of fees and cost a franchise owner must pay
Answers (1)
What is the difference between capital gain and capital loss?
Answers (1)
g The Council of Economic Advisors to the President of a country reported gross investment expenditure at $400,000 during a particular year.
Answers (1)
Home » Business » An asset (not an automobile) placed in service in June 2018 has a depreciable basis of $35,000 and a recovery period of 5 years.
Sign Up Forgot Password?