LO.2, 3 Federal Taxation) Orange Corporation acquired new office furniture on August 15, 2020, for $130,000. Orange does not elect immediate expensing under section 179. Orange claims any available additional first-year depreciation. Determine Orange’s cost recovery for 2020. How would your answer change if Orange decided to use $52,000 of bonus depreciation and use normal MACRS on the balance of the acquisition cost?

LO.2, 3 Federal Taxation) Orange Corporation acquired new office furniture on August 15, 2020, for $130,000. Orange does not elect immediate expensing under section 179. Orange claims any available additional first-year depreciation. Determine Orange’s cost recovery for 2020. How would your answer change if Orange decided to use $52,000 of bonus depreciation and use normal MACRS on the balance of the acquisition cost?

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter8: Depreciation, Cost Recovery, Amortization, And Depletion

Section: Chapter Questions

Problem 33P

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