Accounting Help Needed

Oct 20th, 2015
RockCafe
Category:
Accounting
Price: $5 USD

Question description

1. Byron entered into a 36-month lease of an automobile on March 1, year 1. He used it 80 percent for business and 20 percent for personal use. In year 2 he used it 90 percent for business and 10 percent for personal use. The fair market value of the automobile at the inception of the lease was $60,000. Byron made 10 monthly lease payments of $660 in year 1 and 12 monthly payments in year 2. The IRS lease inclusion table amounts are $80 for the first year and $160 for the second year.

a. What is Byron's deduction for lease payments made during year 1? 

$5280

b. What is his deduction for year 2? 

$7128

c. What is the lease inclusion amount that Byron must include in his gross income for year 1? 

$?? Answer Please

d. What amount must he include in income for year 2? 

$?? Answer Please


2. Kondar Corporation (a calendar-year taxpayer) spent $2,050,000 to purchase used machinery in February 2014.

a. What was the maximum that Kondar could elect to expense under Section 179? 

$450,000

b. What was the basis for calculating regular MACRS depreciation on this machinery if the maximum Section 179 deduction was elected? 

$1,600,000

c. What was Kondar's total depreciation deduction for 2014? 

$678,640

d. What is Kondar's depreciation deduction for this machinery for 2015? 

$?? Answer Please

Tutor Answer

(Top Tutor) Daniel C.
(997)
School: Boston College
PREMIUM TUTOR

Studypool has helped 1,244,100 students

3 Reviews


Summary
Quality
Communication
On Time
Value
BlueOcean
Nov 13th, 2016
" Awesome! Exactly what I wanted. "
ashleyisgod
Oct 21st, 2016
" Top quality work from this guy! I'll be back! "
Molly_Moon
Sep 29th, 2016
" AMAZING as always! "
Ask your homework questions. Receive quality answers!

Type your question here (or upload an image)

1823 tutors are online

Brown University





1271 Tutors

California Institute of Technology




2131 Tutors

Carnegie Mellon University




982 Tutors

Columbia University





1256 Tutors

Dartmouth University





2113 Tutors

Emory University





2279 Tutors

Harvard University





599 Tutors

Massachusetts Institute of Technology



2319 Tutors

New York University





1645 Tutors

Notre Dam University





1911 Tutors

Oklahoma University





2122 Tutors

Pennsylvania State University





932 Tutors

Princeton University





1211 Tutors

Stanford University





983 Tutors

University of California





1282 Tutors

Oxford University





123 Tutors

Yale University





2325 Tutors