A real estate professional is preparing a depreciation schedule to complete his tax return. He owns a residential property that he rents. The list of depreciable assets is shown below.

Requirements:
Analyze the information above. Modify the attached spreadsheet to address each of the numbered requirements. In the appropriate areas:
List the Asset Class.
Calculate the depreciation amount for the current tax year and list the table used.
Cite the information source from which you answered #1 and #2 (IRS publication, textbook, website, etc.).
Clearly identify the requirement being addressed. Show all calculations within the cells of the spreadsheet. This means that you must use formulas and links so that your thought process can be examined. Make good use of comments to convey your thought process as well. No hard coding of solutions is permitted.
Review the grading rubric, which can be accessed from the Course Information page, to understand how you will be graded on this assignment. Reach out to your instructor if you have questions about the assignment.
Note: If IRS Publication 527 is used, apply the MACRS GDS system instead of the MACRS ADS system.

Transcribed Image Text:

Acquisition Initial Asset Basis/Cost Date $125,000 Residential Real Estate 2/1/2000 Asset $5,000 Furniture 1/15/2013 $200 Refrigerator 6/15/2012 $50 Microwave 7/1/2013 S1,000 Carpet 8/2/2010 S2,000 Fences 2/1/2000 Asset Initial Acquisition Asset Life Tax Source Basis/Cost Date Classification Table Residential Real Estate $125,000 2/1/00 Asset Furniture $5,000 1/15/13 Refrigerator $200 6/15/12 Microwave $50 7/1/13 Carpet $1,000 8/2/10 Fences $2,000 2/1/00