Accounting Conventions and IRS Rules Sometime Specify the Depreciation Parameters

question 59

True/False

Accounting conventions and IRS rules sometime specify the depreciation parameters to be used.

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Definitions:

FMV

Fair Market Value is an estimate of the market value of a property or asset, based on what a knowledgeable, willing, and unpressured buyer would likely pay to a knowledgeable, willing, and unpressured seller.

§179 Expense

A section of the U.S. tax code that allows a business to deduct the full purchase price of qualifying equipment or software within the tax year.

Business Assets

Economic resources or items of value owned by a company that are expected to provide future benefits or profits.

Bulldozer

A heavy, tractor-like vehicle with a large, metal plate used to push large quantities of soil, sand, rubble, or other such material during construction or conversion work.