On February 8, 2018, Holly purchased a residential apartment building. The cost basis assigned to the...

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Accounting

On February 8, 2018, Holly purchased a residential apartmentbuilding. The cost basis assigned to the building is $209,000.Holly also owns another residential apartment building that shepurchased on December 15, 2018, with a cost basis of $588,000.
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If required, round intermediate calculations and finalanswers to nearest dollar.
a. Calculate Holly's total depreciationdeduction for the apartments for 2018 using MACRS.
$
b. Calculate Holly's total depreciationdeduction for the apartments for 2019 using MACRS.
$
Calculate the following:
Click here to access the various depreciation tables. Ifrequired, round your final answers to the nearest dollar. If youranswer is zero, enter "0".
a. The first year of depreciation on aresidential rental building costing $200,000 purchased July 2,2018.
$
b. The second year (2019) of depreciation on acomputer costing $5,000 purchased in May 2018, using the half-yearconvention and accelerated depreciation considering any bonusdepreciation taken.
$
c. The first year of depreciation on a computercosting $2,800 purchased in May 2018, using the half-yearconvention and straight-line depreciation with no bonusdepreciation.
$
d. The third year of depreciation on businessfurniture costing $8,000 purchased in March 2016, using thehalf-year convention and accelerated depreciation but no bonusdepreciation.
$

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Answer a Calculate Hollys total depreciation deduction for the apartments for 2018 using MACRS Given data The cost basis assigned to the building 209000 Basis cost 588000 Column 8 February is 2th month Row 1 of Table 74 MACRS rate is 3182 Here we need to find out the Total Depreciation on 2018 Total Depreciation on 2018 209000 3182 3182 588000 665038 1871016 2536054 25360 rounded to nearest dollar Total Depreciation on 2018 25360 b Calculate Hollys total depreciation deduction for the apartments for 2019 using MACRS Given data The See Answer

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