John purchased a new business asset (five-year personalty) on July 23, 2018, at a cost of $40,000. John takes additional first-year depreciation but does not elect Section 179 expense on the asset. Determine the cost recovery deduction for 2018. $20,000 $26,666 $16,000 $40,000
John purchased a new business asset (five-year personalty) on July 23, 2018, at a cost of $40,000. John takes additional first-year depreciation but does not elect Section 179 expense on the asset. Determine the cost recovery deduction for 2018. $20,000 $26,666 $16,000 $40,000
Chapter8: Depreciation, Cost Recovery, Amortization, And Depletion
Section: Chapter Questions
Problem 35P
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Question
John purchased a new business asset (five-year personalty) on July 23, 2018, at a cost of $40,000. John takes additional first-year depreciation but does not elect Section 179 expense on the asset. Determine the cost recovery deduction for 2018.
|
$20,000 |
|
$26,666 |
|
$16,000 |
|
$40,000 |
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