Required Information The Following Information Applies To The Questions Displayed Below Woolard Supplies A Sole Prop 1 (23.21 KiB) Viewed 26 times
Required Information [The following information applies to the questions displayed below.) Woolard Supplies (a sole proprietorship) has taxable income in 2021 of $240.000 before any depreciation deductions (5179, bonus, or MACRS) and placed some office furniture into service during the year. The furniture does not qualify for bonus depreciation. (Use MACRS Table 1. Table 2. Table 3. Table 4 and Table 5. (Do not round Intermediate calculations. Round your Intermediate calculations and final answers to the nearest whole dollar amount.) Asset Office furniture (used) Placed In Service March 20 Basis $ 1,163, eee a. If Woolard elects $50,000 of 5179. what is Woolard's total depreciation deduction for the year? Woolard's total depreciation
b. If Woolard elects the maximum amount of $179 for the year, what is the amount of deductible $179 expense for the year? What is the total depreciation that Woolard may deduct in 2021? What is Woolard's $179 carryforward amount to next year, if any? Deductible $179 expense Total depreciation deduction $179 carryforward
c. Woolard is concerned about future limitations on its 5179 expense. How much 5179 expense should Woolard expense this year if it wants to maximize its depreciation this year and avoid any carryover to future years? $179 expense
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