Deirdre's Business Purchased Two Assets During the Current Year (A

question 107

Multiple Choice

Deirdre's business purchased two assets during the current year (a full 12-month tax year) .Deirdre placed in service computer equipment (5-year property) on January 20 with a basis of $15,000 and machinery (7-year property) on October 1 with a basis of $15,000.Calculate the maximum depreciation expense (ignoring §179 and bonus depreciation) .(Use MACRS Table 2 in the text) (Round final answer to the nearest whole number)

• A) $1,286.
• B) $5,144.
• C) $5,786.
• D) $6,000.
• E) None of the choices are correct.

---

Definitions:

Work Methods

The strategies, techniques, or processes employed by individuals or groups to carry out their tasks, often optimized for efficiency, quality, or safety.

Production Plans

Detailed outlines that specify the activities, resources, timelines, and costs involved in producing a product or providing a service.

Logistics Plans

Detailed organization and implementation strategies for the efficient transportation and storage of goods from origin to consumption.

Operational Plans

Detailed, short-term action plans that outline how a strategy will be implemented, including specific tasks, timelines, and resources required.