Alice purchases a rental house on August 22, 2018, for a cost of $174,000. Of this amount,

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Alice purchases a rental house on August 22, 2018, for a cost of $174,000. Of this amount, $100,000 is considered to be allocable to the cost of the home, with the remaining $74,000 allocable to the cost of the land. What is Alice’s maximum depreciation deduction for 2018 using MACRS? 

a. $2,373 

b. $1,970 

c. $1,364 

d. $1,061 

e. $1,009

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Income Tax Fundamentals 2019

ISBN: 9781337703062

37th Edition

Authors: Gerald E. Whittenburg, Steven Gill

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