Question: On September 14, 2012, Jay purchased a passenger automobile that is used 75 percent in his accounting business. The automobile has a basis for depreciation

On September 14, 2012, Jay purchased a passenger automobile that is used 75 percent in his accounting business. The automobile has a basis for depreciation purposes of $35,000, and Jay uses the accelerated method under MACRS. Jay does not take bonus depreciation or elect to expense.
a. Calculate Jay's depreciation deduction for 2012. $_____________
b. Assuming the same business percentage (75 percent) in 2013, calculate Jay's depreciation deduction for 2013. $_____________

Step by Step Solution

★★★★★

3.33 Rating (159 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

a 2370 3160 x 75 limit is l... View full answer

blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

1124-B-A-I-T(2301).docx

120 KBs Word File

Students Have Also Explored These Related Accounting Questions!

Q:

On September 14, 2014, Jay purchased a passenger automobile that is used 75 percent in his accounting business. The automobile has a basis for depreciation purposes of $35,000, and Jay uses the...

Q:

On September 14, 2015, Jay purchased a passenger automobile that is used 75 percent in his accounting business. The automobile has a basis for depreciation purposes of $43,000, and Jay uses the...

Q:

On September 14, 2013, Jay purchased a passenger automobile that is used 75 percent in his accounting business. The automobile has a basis for depreciation purposes of $35,000, and Jay uses the...

Q:

You are the manager of a local coffee shop. There are two types of customers in your market, coffee addicts, and casual drinkers. Because coffee addicts buy large amounts of coffee, they are more...

Q:

Your company provides a variety of delivery services. Management wants to know the volume of a particular delivery that would generate $10,000 per month in operating profits before taxes. The company...

Q:

Have you or anyone you know ever worked for a small company? If so, what were your experiences from a service standpoint?

Q:

From an urn, which contains a white and b black balls,we select n balls with replacement. However, each time a ball is put back into the urn, we also put s more balls of the same color into the urn....

Q:

As the HR manager, you have heard rumors about potential efforts to unionize your warehouse employees. Use the www.genelevine .com website to develop a set of guidelines for supervisors if they are...

Q:

amertize the discoure The journal enty to recond the first imerest paymers is Mutple croce Deot Eore lveen Gopenue $23,560, ende Coin s23seo

Q:

Jay Rexford, president of Photo Artistry Company, was just concluding a budget meeting with his senior staff. It was November of 20x4, and the group was discussing preparation of the firms master...

Q:

In Exercises 5994, solve each absolute value inequality. |3x + 5| Answered: 2 weeks ago

Q:

M&M Company manufactures a single product the claud . the following budgeted figures relate to the claud for one year period. Sales & production (units) 800 Sales $16,000 Production Costs: Variable...

Q:

You delegated the development of dessert recipe cards to Bobby. Bobby has completed the dessert cards ready for the deadline of March 10 th . Bobby has met with you to go through the dessert....

Q:

Question 19 (3 points) Listen Thames Inc.'s most recent dividend was $2.5 per share (Do = $2.5). The dividend is expected to grow at a rate of 4% per year. The risk-free rate is 3% and the return on...

Q:

Assume the US enacted tax rate is 30%, and a non-US subsidiary\'s local enacted rate is 25%. If the non-US subsidiary\'s outside basis for book exceeds outside basis for tax, at what total rate will...

Q:

Canada Sweden Real rate of interest required by investors 2% 2% Nominal interest rate 7% 4.5% Spot rate Swedish Krona SEK/CAD $0.1323 Use the differential in expected inflation to forecast the new...

Q:

They provide space for marginal glosses.

Q:

In the series connection below, what are the respective power consumptions of R, R2, and R3? R R www 4 V=6V P1-3 W; P2=3W; and P3= 3 W OP10.5 W; P2-1 W; and P3= 1.5 W P1=1.5 W; P2=1 W; and P3= 0.5 W...

Q:

The company assembled the following information with respect to operating cash flow for the year: Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ....

Q:

The company reported the following balance sheet information: Total income tax expense for 2011 was $60,000. Compute the amount of cash paid for income taxes in2011. 2011 2010 Income taxes...

Q:

Indicate which of the following items are temporary differences and which are nontaxable or nondeductible. For each temporary difference, indicate whether the item considered alone would create a...

Q:

Using the free cash flow valuation model to price an IPO Assume that you have an opportunity to buy the stock of CoolTech, Inc., an IPO being offered for $12.50 per share. Although you are very much...

Q:

By using data below compute Covered Interest Arbitrage profit or loss by investing in the Foreign Currency for 180 days. (Round your answer to the nearest dollar) Consider 180-day investment Amount...

Q:

Gluon Inc. is considering the purchase of a new high pressure glueball. It can purchase the glueball for $220,000 and sell its old low-pressure glueball, which is fully depreciated, for $40,000. The...

Related Book

Income Tax Fundamentals 2013 31st Edition by Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill