There Are 10 Big Ideas in Chapter 1

question 63

Essay

There are 10 Big Ideas in Chapter 1. List four of them.

---

Definitions:

Half-Year Convention

The Half-Year Convention is a method for calculating depreciation in which all assets acquired during a year are considered to have been acquired at the midpoint of the year.

Real Property

Land and anything permanently affixed to it, such as buildings, fences, and those things attached to the buildings.

MACRS

The Modified Accelerated Cost Recovery System, a method of depreciation in the U.S. for tax purposes, allowing businesses to recover investments in certain property over time.

Standard Mileage Rate

The Standard Mileage Rate is a set amount per mile provided by the IRS that taxpayers can use to calculate deductible vehicle expenses for business, charitable, medical, or moving purposes.