In 2019, Wabash Corporation pur-chases two assets and places them into service (both have a 7-year MACRS

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In 2019, Wabash Corporation pur-chases two assets and places them into service (both have a 7-year MACRS recovery period):

• Asset #1: $1,260,000 cost; placed in service in February.

• Asset #2: $1,240,000 cost; placed in service in November.

Wabash elects $1.02 million under Sec. 179 and elects out of bonus depreciation. Compute

Wabash's total depreciation deduction for 2019 under each of the following assumptions:

a. Wabash elects the $1.02 million for Asset #1.

b. Wabash elects the $1.02 million for Asset #2.

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Federal Taxation 2020 Comprehensive

ISBN: 9780135196274

33rd Edition

Authors: Timothy J. Rupert, Kenneth E. Anderson, David S. Hulse

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Question Posted: Jul 02, 2020 01:18 AM

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In 2019, Wabash Corporation pur-chases two assets and places them into service (both have a 7-year MACRS

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