please see attachment below

ACTG 068A

Homework Assignment # 3

REQUIRED:

Prepare 2014 Form 4797 for ABC, Inc. from the following information:

ABC, Inc. FEIN 94-998877345 is in construction business. ABC had the following transactions in 2014:

Sales of Business Property

1

Personal Property

Item

Sale

Sales

Date Placed

Purchase

Depreciation/Amortization

Holding Period

Gain

LT

Depreciation recapture

LT

ST

Sold

Date

Price

In Service

Price

Taken

Period (LT or ST)

(Loss)

Capital

- ordinary (line 31)

Capital afer Recapture

Ordinary

(1)

(2)

(3)

(1) - [ (2)-(3)]

(4)

(5)

(4) - (5)

A.

Truck

10/1/14

5,000

2/1/12

18,000

18,000

B.

Furniture

7/5/14

$900

2/1/14

$1,400

$-

C.

"SuperCement" TM Formula

6/15/14

$10,000

3/2/94

$1,000

$1,000

D.

Mixing Machine (see note)

5/5/14

$500

1/1/12

$3,500

$-

1231 5 year look back recapture (line 8 & 12)

0

-

-

-

-

-

-

(A)

line 9

line 18b

check - s/b = (A)

2

Assume ABC, Inc. had $3,000 of net unrecaptured Sec. 1231 losses in excess of Sec. 1231 gains

for 5 prior years

Note:

Because of clerical error no depreciation was taken on Mixing Machine a 5 year MACRS property placed in service on 1/1/2012

No property was placed in service in the 4th Quarter of 2014.

Hint:

Depreciation "allowed or allowable" concept is tested here!

ACTG 068A Homework Assignment # 3 REQUIRED: Prepare 2014 Form 4797 for ABC, Inc. from the following information: ABC, Inc. FEIN 94-998877345 is in construction business. ABC had the following transactions in 2014: Sales of Business Property 1 Personal Property Item Sale Sales Sold Date Price (1) A. Truck B. Furniture C. "SuperCement" TM Formula D. Mixing Machine (see note) 10/1/2014 5,000 Date Placed Purchase In Service 2/1/2012 Price (2) Depreciation/ Holding Amortization Period Period (LT or Taken ST) (3) 18,000 Gain (Loss) (1) - [ (2)-(3)] Depreciation recapture LT Capital (4) LT ST - ordinary (line Capital afer 31) Recapture Ordinary (5) (4) - (5) 18,000 7/5/2014 $ 900 2/1/2014 $ 1,400 $ 6/15/2014 $ 10,000 3/2/1994 $ 1,000 $ 5/5/2014 $ 500 1/1/2012 $ 3,500 $ 1,000 - 1231 5 year look back recapture (line 8 & 12) 0 (A) 2 Note: Assume ABC, Inc. had $3,000 of net unrecaptured Sec. 1231 losses in excess of Sec. 1231 gains for 5 prior years Because of clerical error no depreciation was taken on Mixing Machine a 5 year MACRS property placed in service on 1/1/2012 No property was placed in service in the 4th Quarter of 2014. Hint: Depreciation "allowed or allowable" concept is tested here! - - line 9 line 18b check s/b = (A) Keen Request Can we proceed through email? You will get best quality work for this question beore next 10 hours. This site charge very high commission (65%) from tutors. You are paying me $25 but this site is paying me only $8.75. I requested you to cancel the current question immediately after my opt-out from this question which will result in reversal of your payment in your account. If you will not cancel this question than it will open for toher tutor and they can downlaod this file and complain from admin about this concern. Please reply me to follwoing email or contact me through whatsapp. We will manage payments through PayPal Email: akademicexpert@gmail.com Whatsapp # +923247296628 beore next 10 hours. 5 but this site is y after my opt-out . If you will not file and complain e through whatsapp