Electing straight-line cost recovery

Assignment Help Accounting Basics
Reference no: EM13142456

James purchased a new business asset (three-year property) on July 23, 2009, at a cost of $50,000. He did not elect to expense any of the asset under § 179, nor did he elect straight-line cost recovery. Determine the cost recovery deduction for 2009.

A) $8,333.

B) $16,665.

C) $33,333.

D) $41,665.

E) None of the above.

Reference no: EM13142456

Questions Cloud

What are two changes that occur in the human body : What are two changes that occur in the human body during natural aging? What causes this?
Prepare a five year table to amortize the premium : The market rate of interest on this date is 8%, and Stacy Company receives proceeds of $10,803 on the bond issuance. Prepare a five year table to amortize the premium using the effective interest method.
Probability that selected senior-s scores is twenty nine : What is the probability that a randomly selected high school senior's score on the mathematics part of the ACT will be more than 29?
How does p53 protein protect the body from cancer : Also, how could the P53 protection mechanism negatively influence longevity?
Electing straight-line cost recovery : James purchased a new business asset (three-year property) on July 23, 2009, at a cost of $50,000. He did not elect to expense any of the asset under § 179, nor did he elect straight-line cost recovery. Determine the cost recovery deduction for 20..
Does white company have any outstanding liabilities : Does white Company have any outstanding liabilities and, if so, what is the total amount of its liabilities?
What sales are need bay norman to break even : norman company sells MP3 players for $60 each. Variable cost are $40 per unit, and fixed cost total $60,000. What sales are need bay norman to break even?
Determining amount of additional paid-in capital : Percy Corporation was organized on January 1, 2010, with an authorization of 1,200,000 shares of common stock with a par value of $6 per share. Percy used the cost method to record the purchase and reissuance of the treasury shares. What is the to..
What is net present value of this investment opportunity : What is net present value of this investment opportunity? Based on your answer to (a) above, should Axillar go ahead with the new conditioning shampoo?

Reviews

Write a Review

Accounting Basics Questions & Answers

  What type of fraud should be of interest to the auditor

Corporate fraud has become a hot topic in the accounting profession for the last several years. When conducting an audit, an auditor may encounter some corporate fraud.

  Cost pools for accumulating overhead

Peter Catalano's Verde Vineyards in Oakville, California produces three varieties of wine: Merlot, Viognier, and Pinot Noir. His winemaster, Kyle Ward, has identified the following activities as cost pools for accumulating overhead and assigning i..

  Prepare all journal entries necessary through june

Jensen Company forecasts a need for 200,000 pounds of cotton in May. On April 11, the company acquires a call option to buy 200,000 pounds of cotton in May at a strike price of $0.3765 per pound for a premium of $814.

  Foreign currency transaction

A foreign currency transaction gain will be recognized by a U.S. company when it has a receivable from a foreign company

  Why did the ethical dilemma arise

What will be the implications of the decision of the manager to lay off the 3 experienced sales executives?

  Determine the total conversion cost

In the manufacture of 10,000 units of a product, direct materials cost incurred was $135,700, direct labor cost incurred was $82,000, and applied factory overhead was $37,500. What is the total conversion cost?

  Total accrued amount

If an officer is not actually paid his salary but the salary is shown as accrued for 2010, for a C Corp, is the total accrued amount for that officer included on Schedule E or only what the officer is actually paid in 2010?

  Flexible budget and a static budget

Which one of the following would be the same total amount on a flexible budget and a static budget if the activity level is different for the two types of budgets?

  Policies and procedure of internal control

Explain why internal control is an important aspect of an accounting system, providing at least two specific example that would be in the policies and procedure of internal control.

  Computing free cash flow

During 2006, NICO Corporation had EBIT of $100,000, a change in net fixed assets of $400,000, an increase in net current assets of $100,000, an increase in spontaneous current liabilities of $400,000, a depreciation expense of $50,000, and a tax r..

  Governmental accounting-internal service fund depreciation

Depreciation of general capital assets is not recorded in the accounts of any of the governmental funds. If a building is transferred from the General Fund to an internal service fund because the character of its use changes, should the internal s..

  Determine the accounting principles-foreign and domestic

Determine the accounting principles (GAAP) the foreign and domestic companies use to prepare financial statements.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd