Required information [The following information applies to the questions displayed below.] Woolard Supplies (a sole proprietorship) has taxable income in 2020 of $240,000 before any depreciation deductions (§179, bonus, or MACRS) and placed some office furniture into service during the year. The furniture does not qualify for bonus depreciation. (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.) Placed In Service Basis Asset office furniture (used) March 20 $1,171,000 c. Woolard is concerned about future limitations on its §179 expense. How much §179 expense should Woolard expense this year if it wants to maximize its depreciation this year and avoid any carryover to future years? §179 expense

Required information [The following information applies to the questions displayed below.] Woolard Supplies (a sole proprietorship) has taxable income in 2020 of $240,000 before any depreciation deductions (§179, bonus, or MACRS) and placed some office furniture into service during the year. The furniture does not qualify for bonus depreciation. (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.) Placed In Service Basis Asset office furniture (used) March 20 $1,171,000 c. Woolard is concerned about future limitations on its §179 expense. How much §179 expense should Woolard expense this year if it wants to maximize its depreciation this year and avoid any carryover to future years? §179 expense

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter18: Accounting For Income Taxes

Section: Chapter Questions

Problem 5MC: At the beginning of 2019, Conley Company purchased an asset at a cost of 10,000. For financial...

See similar textbooks

Similar questions

Required information [The following information applies to the questions displayed below.] Woolard Supplies (a sole proprietorship) has taxable income in 2023 of $240,000 before any depreciation deductions (§179, bonus, or MACRS) and placed some office furniture into service during the year. The furniture does not qualify for bonus depreciation. (Use MACRS Table 1, Table 2, Table 3, Table 4, and Table 5.) Note: Round your intermediate calculations and final answers to the nearest whole dollar amount. Asset Office furniture (used) Placed In Service Basis March 20 $ 1,179,000 b. If Woolard elects the maximum amount of $179 for the year, what is the amount of deductible §179 expense for the year? What is the total depreciation that Woolard may deduct in 2023? What is Woolard's §179 carryforward amount to next year, if any? Deductible §179 expense Total depreciation deduction §179 carryforward
Required information [The following information applies to the questions displayed below.] Woolard Supplies (a sole proprietorship) has taxable income in 2023 of $240,000 before any depreciation deductions (§179, bonus, or MACRS) and placed some office furniture into service during the year. The furniture does not qualify for bonus depreciation. (Use MACRS Table 1, Table 2, Table 3, Table 4, and Table 5.) Note: Round your intermediate calculations and final answers to the nearest whole dollar amount. Asset Office furniture (used) Placed In Service March 20 Deductible $179 expense Total depreciation deduction $179 carryforward b. If Woolard elects the maximum amount of $179 for the year, what is the amount of deductible §179 expense for the year? What is the total depreciation that Woolard may deduct in 2023? What is Woolard's §179 carryforward amount to next year, if any? Basis $ 1,200,000 $ 214,335
! Required information [The following information applies to the questions displayed below.] Woolard Supplies (a sole proprietorship) has taxable income in 2020 of $240,000 before any depreciation deductions (§179, bonus, or MACRS) and placed some office furniture into service during the year. The furniture does not qualify for bonus depreciation. (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.) Placed In Service Asset Basis Office furniture (used) March 20 $1,171,000 b. If Woolard elects the maximum amount of §179 for the year, what is the amount of deductible §179 expense for the year? What is the total depreciation that Woolard may deduct in 2020? What is Woolard's §179 carryforward amount to next year, if any? Deductible §179 expense Total depreciation deduction §179 carryforward
[The following information applies to the questions displayed below.] Woolard Supplies (a sole proprietorship) has taxable income in 2020 of $240,000 before any depreciation deductions (§179, bonus, or MACRS) and placed some office furniture into service during the year. The furniture does not qualify for bonus depreciation. (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.) Asset Office furniture (used) Placed In Service Basis March 20 $1,195,000 c. Woolard is concerned about future limitations on its §179 expense. How much §179 expense should Woolard expense this year if it wants to maximize its depreciation this year and avoid any carryover to future years? §179 expense
Woolard Supplies (a sole proprietorship) has taxable income in 2023 of $240,000 before any depreciation deductions (§179, bonus, or MACRS) and placed some office furniture into service during the year. The furniture does not qualify for bonus depreciation. (Use MACRS Table 1, Table 2, Table 3, Table 4, and Table 5.) Note: Round your intermediate calculations and final answers to the nearest whole dollar amount. Asset Office furniture (used) Problem 10-62 Part b (Static) Placed In Service March 20 Basis $ 1,200,000 b. If Woolard elects the maximum amount of §179 for the year, what is the amount of deductible §179 expense for the year? What is the total depreciation that Woolard may deduct in 2023? What is Woolard's §179 carryforward amount to next year, if any? X Answer is complete but not entirely correct. Deductible $179 expense $ 211,420 X Total depreciation deduction $ 240,000 §179 carryforward $ 788,580 X
Woolard Supplies (a sole proprietorship) has taxable income in 2020 of $240, 000 before any depreciation deductions (§179, bonus, or MACRS) and placed some office furniture into service during the year. The furniture does not qualify for bonus depreciation. (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.) Asset Placed In Service Basis Office furniture (used) March 20 $ 1,185,000 a. If Woolard elects $50,000 of $179, what is Woolard' s total depreciation deduction for the year?
Required information [The following information applies to the questions displayed below.] Assume that Sivart Corporation has 2023 taxable income of $1,750,000 for purposes of computing the §179 expense and acquired several assets during the year. Assume the delivery truck does not qualify for bonus depreciation. (Use MACRS Table 1, Table 2, Table 3, Table 4, and Table 5.) Placed in Service Basis Machinery Asset Computer equipment Delivery Truck-used Furniture Total June 12 February 10 August 21 April 2 $ 1,440,000 70,000 93,000 310,000 $ 1,913,000 b. What is the maximum total depreciation ($179, bonus, MACRS) that Sivart may deduct in 2023 on the assets it placed in service in 2023? Answer is complete but not entirely correct. Maximum total depreciation deduction (including §179 expense) $ 1,254,242 x
Required information [The following information applies to the questions displayed below.] Assume that Timberline Corporation has 2022 taxable income of $260,000 for purposes of computing the §179 expense. It acquired the following assets in 2022: (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) Asset Furniture (7-year) Computer equipment (5-year) Copier (5-year) Machinery (7-year) Total Purchase Date December 1 February 28 July 15 May 22 a-1. Maximum §179 expense a-2. Maximum §179 carryforward to 2023 Basis $414,000 110,000 50,000 476,000 $ 1,050,000 Required: a-1. What is the maximum amount of §179 expense Timberline may deduct for 2022? a-2. What is Timberline's §179 carryforward to 2023, if any?
Required information [The following information applies to the questions displayed below.] Assume that Sivart Corporation has 2020 taxable income of $1,750,000 for purposes of computing the §179 expense and acquired several assets during the year. Assume the delivery truck does not qualify for bonus depreciation. (Use MACRS Table 1, Table 2. Table 3, Table 4 and Table 5.) Asset Machinery Computer equipment Delivery Truck-used Furniture Total Placed in Service June 12 February 10 August 21 April 2 Basis $ 1,440,000 70,000 93,000 310,000 $ 1,913,000 b. What is the maximum total depreciation (§179, bonus, MACRS) that Sivart may deduct in 2020 on the assets it placed in service in 2020? Maximum total depreciation deduction (including $179 expense)
Required information [The following information applies to the questions displayed below.] Assume that Sivart Corporation has 2022 taxable income of $1,750,000 for purposes of computing the $179 expense and acquired several assets during the year. Assume the delivery truck does not qualify for bonus depreciation. (Use MACRS Table 1. Table 2. Table 3. Table 4 and Table 5.) Asset Placed in Service Machinery Computer equipment Delivery Truck-used Furniture Total June 12 February 10 August 21 April 2 Basis $ 1,440,000 70,000 93,000 310,000 $ 1,913,000 b. What is the maximum total depreciation (5179, bonus, MACRS) that Sivart may deduct in 2022 on the assets it placed in service in 2022? Answer is complete but not entirely correct. Maximum total depreciation deduction (including $179 expense) $ 1,993,000 (
Required information [The following information applies to the questions displayed below.) Assume that Timberline Corporation has 2021 taxable income of $262,000 for purposes of computing the 8179 expense. It acquired the following assets in 2021 (Use MACRS Table 1. Iable 2. Table 3. Toble 4 and Table 5) Asset Furniture (7-year) Computer equipment (5-year) Copier (5-year) Machinery (7-year) Purchase Date December 1 February 28 July 15 May 22 Basis $ 416,000 112,000 52,000 470,000 $ 1,050,000 Total b. What would Timberline's maximum depreciation deduction be for 2021 assuming no bonus depreciation? (Round your intermediete calculations and final answer to the nearest whole doller amount.) Maximum Depreciation Deduction (ncluding 5170 expense)
Woolard Supplies (a sole proprietorship) has taxable income in 2019 of $240,000 before any depreciation deductions (§179, bonus, or MACRS) and placed some office furniture into service during the year. The furniture had been used previously by Liz Woolard (the owner of the business) before it was placed in service by the business. (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5 Asset Placed In Service Basis Office furniture (used) March 20 $ 1,189,000 b. If Woolard elects the maximum amount of §179 for the year, what is the amount of deductible §179 expense for the year? What is the total depreciation that Woolard may deduct in 2019? What is Woolard's §179 carryforward amount to next year, if any?