A piece of newly purchased industrial equipment costs $967,000 and is classified

Question

A piece of newly purchased industrial equipment costs $967,000 and is classified as seven-year property under MACRS. The MACRS depreciation schedule is shown in Table 10.7. Calculate the annual depreciation allowances and end-of-the-year book values for this equipment. (Leave no cells blank - be certain to enter "0" wherever required. Round your answers to 2 decimal places. (e.g., 32.16))

Year Beginning Book Value Depreciation Ending book Value 1 $ $ $ 2 $ $ $ 3 $ $ $ 4 $ $ $ 5 $ $ $ 6 $ $ $ 7 $ $ $ 8 $ $ $

Explanation / Answer

Beginig Ending Year MACRS Book Value Deprecition Book Value 1 0.1429 967000 138184 828816 2 0.2449 828816 236818 591997 3 0.1749 591997 169128 422869 4 0.1249 422869 120778 302091 5 0.0893 302091 86353 215738 6 0.0892 215738 86256 129481 7 0.0893 129481 86353 43128 8 0.0446 43128 43128 0

Related Questions

Navigate

• Browse (All)
• Browse A
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.