You bought a delivery van for your business for $37,000 four years ago, which is your...

 

 

Transcribed Image Text:

You bought a delivery van for your business for $37,000 four years ago, which is your only fixed asset. Last year, your business had revenue of $57,000, costs of $28,500 and an average tax rate of 28%. The business doesn't have any debt. Part 1 IB - Attempt 1/3 for 10 pts. Into which property class does the van belong? Check IRS publication 946, How to depreciate property. Enter "3" for 3-year property, "5" for 5-year property, and so on. 0+ decimals Submit Part 2 I B - Attempt 1/3 for 10 pts. What is the depreciation for the van for last year (in $)? Use table A1 in IRS publication 946 to look up the depreciation percentages for each year. 0+ decimals Submit Part 3 I B - Attempt 1/3 for 10 pts. What is the operating cash flow for last year? 0+ decimals Submit You bought a delivery van for your business for $37,000 four years ago, which is your only fixed asset. Last year, your business had revenue of $57,000, costs of $28,500 and an average tax rate of 28%. The business doesn't have any debt. Part 1 IB - Attempt 1/3 for 10 pts. Into which property class does the van belong? Check IRS publication 946, How to depreciate property. Enter "3" for 3-year property, "5" for 5-year property, and so on. 0+ decimals Submit Part 2 I B - Attempt 1/3 for 10 pts. What is the depreciation for the van for last year (in $)? Use table A1 in IRS publication 946 to look up the depreciation percentages for each year. 0+ decimals Submit Part 3 I B - Attempt 1/3 for 10 pts. What is the operating cash flow for last year? 0+ decimals Submit

Answer rating: 100% (QA)

Part 1 5 As it is automobile used in business so It falls under 5y... View the full answer