ANSWERS TO QUESTIONS
*Taken from the MACRS rates schedule. Optional straight-line method: Total Cost Depreciation Rate Annual Depreciation Accumulated Depreciation 2005 $1,100,000 X (1/7 X 1/2) = $ 78,571 $ 78,571 2006 1,100,000 X 1/7 = 157,143 $235,714 2007 1,100,000 X 1/7 = 157,143 $392,857 $392,857 ................
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