12 Exercise 8-27 (Algorithmic) (LO. 8) On March 25, Parscale Company purchases the rights to a mineral interest for $8,904,000. At that time, the remaining recoverable units in the mineral interest are estimated to be 685,300 toris If required, round any division to two decimal places and use in subsequent computations. Round your final answer to the nearest dollar. If 616,770 tons are mined and 102,795 tons are sold this year, calculate Parscale's cost depletion for the year. $ Problem 8-29 (LO. 1, 2) On November 4, 2019, Blue Company acquired an asset (27.5-year residential real property) for $200,000 for use in its business. In 2019 and 2020, respectively, Blue deducted $642 and $5,128 of cost recovery. These amounts were incorrect; Blue applied the wrong percentages (i.e., those for 39-year rather than 27.5-year assets). Blue should have taken $910 and $7,272 cost recovery in 2019 and 2020, respectively. On January 1, 2021, the asset was sold for $180,000. If required, round all computations to the nearest dollar. Click here to access the depreciation tables in the textbook. a. The adjusted basis of the asset at the end of 2020 is $ b. The cost recovery deduction for 2021 is $ c. The on the sale of the asset in 2021 is $ Problem 8-31 (LO. 2, 3) Orange Corporation acquired new office furniture on August 15, 2021, for $130,000. Orange does not elect immediate expensing under 5 179. Orange claims any available additional first-year depreciation. If required, round your answer to the nearest dollar. Click here to access Exhibit 8.1 and the depreciation tables in the textbook. a. Determine Orange's cost recovery for 2021. The office furniture is classified as seven-year class of property for MACRS If bonus depreciation is elected, Orange's deduction is $ b. Determine Orange's cost recovery for 2021 if Orange decided to only use $52,000 of bonus depreciation and normal MACRS on the balance of the acquisition cost