McGraw-Hill's Taxation of Individuals and Business Entities 2020 Edition
11th Edition
ISBN: 9781260432466
Author: SPILKER, Brian
Publisher: MCGRAW-HILL HIGHER EDUCATION
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Textbook Question
Chapter 10, Problem 46P
At the beginning of the year, Poplock began a calendar-year dog boarding business called Griff’s Palace. Poplock bought and placed in service the following assets during the year:
Assuming Poplock does not elect §179 expensing and elects not to use bonus
- a) What is Poplock’s year 1 depreciation deduction for each asset?
- b) What is Poplock’s year 2 depreciation deduction for each asset?
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At the beginning of the current year, Poplock began a calendar-year dog boarding business called Griff's Palace. Poplock
bought and placed in service the following assets during the year:
Asset
Computer equipment
Dog-grooming furniture
Pickup truck
Commercial building
Land (one acre)
Assuming Poplock does not elect $179 expensing and elects not to use bonus depreciation, answer the following
questions: (Use MACRS Table 1. Table 2. Table 3. Table 4 and Table 5.)
Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount. Leave no
answer blank. Enter zero if applicable.
Asset
Computer equipment
Dog-grooming furniture
Pickup truck
Date Acquired
3/23
5/12
9/17
10/11
10/11
b. What is Poplock's year 2 depreciation deduction for each asset?
Commercial building
Land (one acre)
Total
$
Cost Basis
$9,000
11,000
10,000
310,000
120,000
Depreciation
Deduction
0
At the beginning of the current year, Poplock began a calendar-year dog boarding business called Griff's Palace. Poplock
bought and placed in service the following assets during the year:
Asset
Computer equipment
Dog-grooming furniture
Pickup truck
Commercial building
Land (one acre)
Problem 10-46 Part a (Algo)
Assuming Poplock does not elect §179 expensing and elects not to use bonus depreciation, answer the following
questions: (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.)
Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount. Leave no
answer blank. Enter zero if applicable.
a. What is Poplock's year 1 depreciation deduction for each asset?
Answer is complete but not entirely correct.
Depreciation
Deduction
Asset
Computer equipment
Dog-grooming fumiture
Pickup truck
Commercial building
Land (one acre)
Total
Date Acquired Cost Basis
3/23
$9,800
5/12
11,800
9/17
10/11
10/11
$
$
$
$
$
$
10,000
318,000
128,000
3,136
2,247…
Chapter 10 Solutions
McGraw-Hill's Taxation of Individuals and Business Entities 2020 Edition
Ch. 10 - Explain why certain long-lived assets are...Ch. 10 - Prob. 2DQCh. 10 - Explain the similarities and dissimilarities...Ch. 10 - Is an assets initial or cost basis simply its...Ch. 10 - Prob. 5DQCh. 10 - Explain why the expenses incurred to get an asset...Ch. 10 - Graber Corporation runs a long-haul trucking...Ch. 10 - What depreciation methods are available for...Ch. 10 - If a business places several different assets in...Ch. 10 - Prob. 38P
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