Rand Company Purchases and Places into Service a Company Automobile

question 99

Multiple Choice

Rand Company purchases and places into service a company automobile costing $40,000 in April 2012.What is the 2012 depreciation deduction on the auto?

• A)$ 2,960
• B)$ 7,200
• C)$ 8,000
• D)$11,160
• E)$40,000

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Definitions:

State Trial Courts

Courts within a state that have jurisdiction to hear cases involving state laws and disputes.

County, District

Administrative or geographic subdivisions within a country, used for the purposes of political, administrative, or governmental management.

Minimum-Contacts Test

A legal standard used to determine whether a court has jurisdiction over an out-of-state defendant based on the defendant's activities within the state.

Jurisdiction

The legal authority of a court to hear and decide a case.