Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. problem 9-22 (algorithmic) (lo. 2) on july 1, 2017

Problem 9-22 (Algorithmic) (LO. 2) On July 1, 2017, Brent purchases a new automobile for...

70.2K

Verified Solution

Question

Accounting

image

Problem 9-22 (Algorithmic) (LO. 2) On July 1, 2017, Brent purchases a new automobile for $38,500. He uses the car 80% for business and drives the car as follows: 12,500 miles in 2017, 31,250 miles in 2018, 35,000 miles in 2019, and 25,000 miles in 2020. Determine Brent's basis in the business portion of the auto as of January 1, 2021, under the following assumptions: If required, round your computations to the nearest dollar. a. Brent uses the automatic mileage method. Compute his basis adjustments for depreciation for each year. Click here to access the basis adjustment table. 2017: $ 2018: $ 2019: $ 2020: Brent's adjusted basis in the auto on January 1, 2021, is $ b. Brent uses the actual cost method. [Assume that no 179 expensing is claimed and that 200% declining-balance cost recovery with the half-year convention is used. The recovery limitation for an auto placed in service in 2017 is as follows: $3,160 (first year), $5,100 (second year), $3,050 (third year), and $1,875 (fourth year).] Compute his depreciation deductions for year. Click here to access the depreciation table. 2017: $ 2018: $ 2019: $ 2020: Brent's adjusted basis in the auto on January 1, 2021, Is

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Chemistry
1.2K views

The hypothetical molecular square H4 is in the D4h point group. (a) Use the 4 1s-orbitals...

Psychology
1.2K views

Describe two specific and actual problem situations that you were able to resolve by teamwork provide...

Mechanical Engineering
1.2K views

Choose one of the following topics and write a report with a minimum of 8 pages...

Biology
1.2K views

If a person has a hematocrit of 0 40 then it would be correct to...

Biology
1.2K views

Animals that are adapted to arboreal life probably have which feature O A opposable thumbs...

Basic Math
1.2K views

A regression equation for x = handspan (cm) and y = height (in.) is expressed...

Basic Math
1.2K views

Four coins are tossed several times. Which of the following represents the outcome on a...

Algebra
1.2K views

Suppose 2 adults produce 62 6lb of garbage in one week At this rate how...

Algebra
1.2K views

Determine g x a g x for the following function Answer g x a g...

Accounting
1.2K views

4 45 points 8 01:30:25 The November 30, 2018, unadjusted trial...

Accounting
1.2K views

Explain bonds issued at a discount versus at a premium. How do they compare to...

Accounting
1.2K views

6.2. For the following two-person two-commodity pure exchange economy, the price of good y is...