Colleen Operates a Business as a Sole Proprietorship

question 121

Multiple Choice

Colleen operates a business as a sole proprietorship. She purchased a computer for $10,000 last year. The computer is five-year recovery property for MACRS purposes and is depreciated under the regular MACRS rules. This year, Colleen incorporates the business and transfers the computer to the new corporation on July 20. The depreciation on the computer for this year allocable to the sole proprietorship is

• A)$1,868.
• B)$1,600.
• C)$1,333.
• D)$500.

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Definitions:

Blood Plasma

The liquid component of blood that carries blood cells, nutrients, hormones, and waste products, and is composed of water, proteins, and dissolved substances.

Collecting Ducts

Tubes in the kidneys that play a crucial role in the process of producing urine by collecting it from the nephrons.

Lymphatic Trunks

Large lymphatic vessels that drain lymph from different parts of the body into the bloodstream.

Lymphatic Collecting Vessels

Specialized vessels within the lymphatic system that transport lymph fluid back to the circulatory system.