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Homework Chapter 12 Problem 12-33 (LO. 3) Lonzo owns two apartment buildings. He acquired Forsythia...

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Homework Chapter 12 Problem 12-33 (LO. 3) Lonzo owns two apartment buildings. He acquired Forsythia Acres on February 21, 1998, for $300,000 ($90,000 allocated to the land) and Square One on November 12, 2018, for $800,000 ($100,000 allocated to the land). Neither apartment complex qualifies as low-income housing. Assume Lonzo elects to deduct the cost of each building as fast as possible If an amount is zero, enter "O". If required, round your answers to the nearest dollar Click here to refer the depreciation tables a. Calculate the effect of depreciation (cost recovery) on his AMTI for 1998 Forsythia Acres-1998 MACRS deduction for regular income tax purposes Depreciation deduction for AMT purposes AMT adjustment: Positive v 6,682 4,595 2,087 Feedback Check My Work b. Calculate the effect of depreciation (cost recovery) on his AMTI for 2018. If required, round your answers to the nearest dollar. Forsythia Acres-2018 MACRS deduction for regular income tax purposes Depreciation deduction for AMT purposes AMT adjustment: Positive Square One-2018 MACRS deduction for regular income tax purposes Depreciation deduction for AMT purposes AMT adjustment: No adjustment 5,250 2,386 v 0 Check My Work Previous Next

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