A Tractor Costing $160,000 Is Depreciated Using MACRS

question 96

Multiple Choice

A tractor costing $160,000 is depreciated using MACRS. The tractor qualifies as a 3-year property, and has a scrap value of $19,000. The depreciation rates are: What is the depreciation expense for year 3?

• A) $24,000
• B) $31,020
• C) $35,200
• D) $21,150

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Definitions:

Agnosia

A neurological disorder characterized by the inability to process sensory information properly, leading to difficulties in recognizing objects, people, sounds, shapes, or smells, despite having no significant memory loss.

Fluent Aphasia

A condition characterized by the ability to produce a smooth flow of speech but with a lack of meaning or with semantic errors, typically resulting from damage to the temporal lobe.

Corpus Callosum

A broad band of nerve fibers joining the two hemispheres of the brain, facilitating communication between them.

Nonfluent Aphasics

Individuals who struggle with speech production often characterized by slow, labored speech and struggle to form complete sentences, typically due to brain damage.