Find the book value for the asset shown in the accompanying table, assuming that MACRS depresiing is being used:View the table attached:AssetInstalled CostRecovery Period (Years)Elapsed time since purchase (Years)A$902,00053 on the icon here in order to copy the contents of the data table below into a spreadsheet.)ounded Depreciation Percentages by Recovery Year Using MACRS forirst Four Property ClassesPercentage by recovery year*7 yearsRecovery year3 years5 years10 years20%14%10%33%25%18%45%32%2.14%19%18%15%12%12%7%12%49%12%9%8%5%9%7%9%74%6%6%8.6%4%10100%11100%100%*These percentages have been rounded to the nearest whole percent to simplify calculations whileretaining realism. To calculate the actual depreciation for tax purposes, be sure to apply the actualunrounded percentages or directly apply double-declining balance (200%) depreciation using the half-year100%Totalsconvontion1.II

The asset book value needs to be calculated at the end of 3 years. The cumulative depreciation rates…

Find the book value for the asset shown in the accompanying table, assuming that MACRS depresiing is being used: View the table attached: Asset Installed Cost Recovery Period (Years) Elapsed time since purchase (Years) A $902,000 5 3

Find the book value for the asset shown in the accompanying table, assuming that MACRS depresiing is being used: View the table attached: Asset Installed Cost Recovery Period (Years) Elapsed time since purchase (Years) A $902,000 5 3

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter8: Depreciation, Cost Recovery, Amortization, And Depletion

Section: Chapter Questions

Problem 7BCRQ

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Question

Find the book value for the asset shown in the accompanying table, assuming that MACRS depresiing is being used:

View the table attached:

Asset	Installed Cost	Recovery Period (Years)	Elapsed time since purchase (Years)
A	$902,000	5	3

on the icon here in order to copy the contents of the data table below into a spreadsheet.)
ounded Depreciation Percentages by Recovery Year Using MACRS for
irst Four Property Classes
Percentage by recovery year*
7 years
Recovery year
3 years
5 years
10 years
20%
14%
10%
33%
25%
18%
45%
32%
2.
14%
19%
18%
15%
12%
12%
7%
12%
4
9%
12%
9%
8%
5%
9%
7%
9%
7
4%
6%
6%
8.
6%
4%
10
100%
11
100%
100%
*These percentages have been rounded to the nearest whole percent to simplify calculations while
retaining realism. To calculate the actual depreciation for tax purposes, be sure to apply the actual
unrounded percentages or directly apply double-declining balance (200%) depreciation using the half-year
100%
Totals
convontion
1.
II

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