Question

A digitally controlled plane for manufacturing furniture (MACRS-GDS 7-year property) is purchased on April 1 by a calendar-year taxpayer for $66,000. It is expected to last 12 years and have a salvage value of $5,000. Calculate the depreciation deduction during years 1, 4, and 8 using MACRS-GDS allowances.

Answer 1

First year Depreciation = $7073.55

4th year Depreciation for = $8243.4

8th year Depreciation for r = $ 2943.6

Step-by-step explanation:

Please see attachment