Mike Purchases 5-Year Class Listed Property for $3,000 During the Current

question 84

Multiple Choice

Mike purchases 5-year class listed property for $3,000 during the current year. He uses the computer 40% of the time in his consulting business. Mike would like to maximize his cost recovery deduction. What is his allowable cost recovery deduction on the computer?

• A)$- 0 -
• B)$120
• C)$180
• D)$300
• E)$1,200

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Definitions:

Problem-solving Style

An individual's preferred approach or strategy for resolving issues, challenges, or dilemmas.

Quality Decision

A decision that effectively addresses the problem or opportunity at hand, meets the needs and expectations of stakeholders, and is made based on a thorough analysis and consideration of relevant information.

Timely Decision

The process of making decisions within a timeframe that allows the decision to have its intended effect or value.

Commitment

The condition of being committed or devoted to a purpose, task, or objective.