In April of 2016,Brandon Acquired Five-Year Listed Property (Not an Automobile)for

question 11

Multiple Choice

In April of 2016,Brandon acquired five-year listed property (not an automobile) for $30,000 and used it 70% for business.No election was made regarding Sec.179 and bonus depreciation was not available.In 2017,his business use of the property dropped to 40%.Which of the following statements is true?

• A)The change does not affect Brandon's previous depreciation.
• B)Brandon must recapture $2,100 as ordinary income.
• C)Brandon must recapture $4,200 as ordinary income.
• D)Brandon must amend the previous tax return and recompute depreciation.

---

Definitions:

Cookware

Utensils and equipment used in the process of cooking or preparing food.

Genetic Testing Services

Health-related services that analyze genetic sequences to identify genetic disorders or traits.

23andMe

A personal genomics and biotechnology company that provides direct-to-consumer genetic testing services.

CVP

An acronym for Cost-Volume-Profit analysis, a financial tool used to determine how changes in costs and volume affect a company's operating income and net income.