Accelerated depreciation method


On June 1, 2010, Sandalwood Corporation purchased a passenger automobile for 100% use in business. The auto, with a cost basis of $22,000 and has a 5-year estimated life and a salvage value of $4,000. It also is 5-year recovery property. How much depreciation should be taken for 2010 assuming the company uses the accelerated depreciation method under MACRS, but does not choose to make the election to expense or to take bonus depreciation.

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Accounting Basics: Accelerated depreciation method
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