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ELO 10-2 LLO 10-3 planning 59. Dain's Diamond Bit Drilling purchased the following assets this year. Assume its taxable
Posted: Sun Apr 17, 2022 6:55 pm
by answerhappygod
- Elo 10 2 Llo 10 3 Planning 59 Dain S Diamond Bit Drilling Purchased The Following Assets This Year Assume Its Taxable 1 (179.1 KiB) Viewed 31 times
ELO 10-2 LLO 10-3 planning 59. Dain's Diamond Bit Drilling purchased the following assets this year. Assume its taxable income for the year was $53,000 for purposes of computing the $179 expense (assume no bonus depreciation). Asset Purchase Date Drill bits (5-year) January 25 Drill bits (5-year) Commercial building April 22 Original Basis $ 90,000 95,000 220,000 July 25 a) What is the maximum amount of $179 expense Dain's may deduct for the year? b) What is Dain's maximum depreciation deduction for the year (including $179 expense)? c) If the January drill bits' original basis was $2,875,000, what is the maximum amount of $ 179 expense Dain's may deduct for the year? d) If the January drill bits' original basis was $3,875,000, what is the maximum amount of $179 expense Dain's may deduct for the year?