What is the year one depreciation for the equipment

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A small business has a taxable income of $95,650 this year, and has purchased $118.450 of business equipment for a section 179 deduction. What is the maximum section 179 deduction that can be taken? Taking this deduction, what is the year 1 depreciation for the equipment? What is the end-of-year book value? Use the MACRS rates listed below:

Year 1: 20% Year 2: 32% Year 3: 19.2% Year 4: 11.52% Year 5: 11.52% Year 6: 5.76%

 

What is the maximum section 179 deduction that can be taken? Taking this deduction, what is the 1 year depreciation for the equipment?

Reference no: EM13953941

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