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If a New Luxury Automobile Is Used 100% for Business

question 40

True/False

If a new luxury automobile is used 100% for business and placed in service in 2016,the maximum MACRS depreciation on the vehicle for 2016 is $11,160.


Definitions:

Bill of Exchange

A written order used in international trade that binds one party to pay a fixed sum of money to another party at a predetermined future date.

Cheque

A written, dated, and signed instrument that directs a bank to pay a specific sum of money to the bearer or the person/entity named on it.

Interest Act

A law governing the calculation and payment of interest due on debts or loans, to prevent usury and unfair practices.

Contracts

A legally binding agreement between two or more parties that outlines obligations and rights concerning services, goods, or other matters.

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