In March, Gary Parker started a new career as a real estate agent. He established Gary...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
In March, Gary Parker started a new career as a real estate agent. He established Gary Parker Company, LLC on March 11 and began seeking clients. He listed his first property on March 21, and closed his first sale on April 9. Gary used his SUV, purchased three years ago and previously used for personal purposes, as his business auto. Once he began business as a real estate agent, he used the vehicle 100 for business purposes. Gary purchased the SUV three years ago for $54,000. At the date he started his real estate practice, it was worth approximately $28,000. What is the maximum amount Gary can claim as a first-year deduction under Code Sec. 179 this year with respect to the vehicle? b. What is the maximum amount of percent a. depreciation expense Gary can claim with respect to the vehicle on the current year tax return? In March, Gary Parker started a new career as a real estate agent. He established Gary Parker Company, LLC on March 11 and began seeking clients. He listed his first property on March 21, and closed his first sale on April 9. Gary used his SUV, purchased three years ago and previously used for personal purposes, as his business auto. Once he began business as a real estate agent, he used the vehicle 100 for business purposes. Gary purchased the SUV three years ago for $54,000. At the date he started his real estate practice, it was worth approximately $28,000. What is the maximum amount Gary can claim as a first-year deduction under Code Sec. 179 this year with respect to the vehicle? b. What is the maximum amount of percent a. depreciation expense Gary can claim with respect to the vehicle on the current year tax return?
Expert Answer:
Answer rating: 100% (QA)
Part a Maximum amount that Gary can claim is Zero 0 Because the vehicle was previous... View the full answer
Related Book For
Posted Date:
Students also viewed these accounting questions
-
Sam Easton started out as a real estate agent in Atlanta ten years ago. After working two years for a national real estate firm, he transferred to Dallas, Texas, and worked for another realty agency....
-
Paliath worked as a real estate agent for Home Town Realty of Vandalia, LLC (the principal, a real estate broker). Torri Auer, a California resident, relied on Paliath's advice and assistance to buy...
-
Mary Graham worked as a real estate agent for Piedmont Properties for 15 years. Her annual income is approximately $100,000 per year. Mary is considering establishing her own real estate agency. She...
-
Serra do Mar Corporation manufactures and distributes leisure clothing. Selected transactions completed by Serra do Mar during the current fiscal year are as follows: Jan. 8 Split the common stock 3...
-
Who gets hurt most in the following cases: banks, mortgage holders (i.e., homeowners), or neither? Who Gets Hurt? En 4% 10% 3% 3% 10% 10% 4% 0% 6% 10%
-
From the following data for a factory for the month of January, compute overhead variances under the four-way analysis: Standard Actual Number of units produced 15,000 8,000 Capacity (hours) 30,000...
-
S & S Janitorial, Inc., paid \($600\) for supplies and purchased additional supplies on account for \($800.\) S & S Janitorial, Inc., also paid \($300\) of the accounts payable. What is the balance...
-
SUPERVALU, one of the largest grocery retailers in the United States, is headquartered in Minneapolis. The following financial information (in millions) was taken from the companys 2010 annual...
-
Leadership Theories Locate a you tube video, audio or website which provides information on one of the leadership theories examined this week (Lewin's framework, Blake and Mouton's Managerial Grid,...
-
Which bond in Exhibit 1 most likely has the lowest effective convexity? A. AI bond B. BI bond C. CE bond Jules Bianchi is a bond analyst for Maneval Investments, Inc. Bianchi gathers data on three...
-
Explain Instruction Pipeline.
-
Coca-cola offers many different types of beverages to appeal to a large variety of the market place. This is an example of which target marketing segment?
-
Answer questions If a health facility has 100 beds and 60 are occupied, what is the occupancy percentage? Does a health facility expect to have a high or low occupancy rate? Explain your answer Are...
-
What are the key challenges in modeling hydrodynamic behavior in estuarine systems, and how do advanced computational tools help in predicting flood risks ?
-
What are the two types of sourcing used for sales of services?
-
Wesley Health Systems is in need of a new magnetic resonance imaging (MRI) machine. Given the financial challenges facing health organizations, the financial leaders at Wesley must determine the best...
-
Company Revenue for Fiscal Year 2014 (millions of dollars) Walmart 476,294 Exxon Mobil 407,666 Apple 170,910 General Motors 155,427 Ford Motor 146,917 General Electric 146231 Identify and explain...
-
Activator rod AB exerts on crank BCD a force P directed along line AB. Knowing that P must have a 100-N component perpendicular to arm BC of the crank, determine (a) The magnitude of the force P, (b)...
-
For the regression line developed in Exercise 15.38, a. Use the 0.05 level in testing whether the population coefficient of correlation could be zero. b. Use the 0.05 level in testing whether the...
-
The 20-ounce package of mozzarella cheese distributed by a food company actually has a weight that is normally distributed, with = 21 ounces and = 0.2 ounces. a. What is the probability that a...
-
Construct three-period and four-period centered moving averages for the quarterly J. C. Penney sales in Exercise 18.67. Are there any other retailing companies for whom a four-period moving average...
-
Explain why you would prefer to receive $1 million today rather than 5 years from now.
-
Explain the terms face value, contractual interest rate and market interest rate.
-
What entry is made to record the issue of unsecured notes payable of $1 million at 100?
Study smarter with the SolutionInn App