Question: While completing undergraduate school work in information systems, Dallin Bourne and Michael Banks decided to start a technology support company called eSys Answers. During year
While completing undergraduate school work in information systems, Dallin Bourne and Michael Banks decided to start a technology support company called eSys Answers. During year they bought the following assets and incurred the following startup fees:
tableYear Assets,Purchase Date,BasisComputers yearOctober Year $Office equipment yearOctober Year,Furniture yearOctober Year,Startup costs,October Year,
In April of year they decided to purchase a customer list from a company providing virtually the same services, started by fellow information systems students preparing to graduate. The customer list cost $ and the sale was completed on April During their summer break, Dallin and Michael passed on internship opportunities in an attempt to really grow their business into something they could do full time after graduation. In the summer, they purchased a small van for transportation, not considered a luxury auto and a pinball machine to help attract new employees They bought the van on June Year for $ and spent $ getting it ready to put into service. The pinball machine cost $ and was placed in service on July Year
tableYear Assets,Purchase Date,BasisVanJune Year $Pinball machine,yearJuly Year Customer list,April Year
Assume that eSys Answers does not claim any $ expense or bonus depreciation. Use MACRS Table Table Table Table and Table
Note: Round your intermediate calculations and final answers to the nearest whole dollar amount.
Required:
b Complete eSys Answers's Form for Year
Input all values as positive numbers. Use tax rules regardless of year on tax form. Assets acquired during Year has to be entered under Section B part of Form page Do not skip rows when entering Amortization of cost under line item of Form
Prepare Form
Form PG
Form PG
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