On January L Grace Leases and Places into Service an Automobile

question 34

Multiple Choice

On January l Grace leases and places into service an automobile with a FMV of $39,000.The business use of the automobile is 60%.The "inclusion amount" for the initial year of the lease from the IRS tables is $20.The annual lease payments are $8,000.What are the tax consequences of this lease?

• A)deduction for lease payments of $4,782
• B)deduction for lease payments of $4,800
• C)deduction for lease payments of $6,000
• D)deduction for lease payment of $8,982

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Definitions:

Editing

The process of making changes and adjustments to the content or format of a document or file.

Program Modes

Refer to distinct states or settings in which a device, application, or system can operate, each designed for performing specific tasks or operations.

Single Scan Test Mode

A diagnostic mode in programmable controllers where the system executes one program scan, useful for troubleshooting and testing.

On-Line Program Mode

Refers to a state where a device, such as a computer or PLC, can be programmed and controlled in real-time while connected to a network or system.