Reference no: EM131790430

DEPRECIATION ASSIGNMENT

Mooter Products manufactures truck and bus components.  In year 1 it acquires and puts into service the following:

ASSET                                       DATE               COST

UsedPress                                  Feb. 15            $400,000        

Special Tools            (new)          Feb. 15            $275,000

Computer Equipment (new)          July 1              $600,000        

New Machinery                            July 1              $925,000

You may find the following information helpful:

DESCRIPTION                                                  CLASS LIFE       GDS     ADS

Equipment - Manufacture of Motor Vehicles               12              7         12

Special Tooling - Manufacture of Motor Vehicles         3                3         3

Computer Hardware                                                6               5         5

Determine each asset's entire depreciation schedule using:

1.  MACRS ADS

2.  ACRS

For purposes of this assignment assume 2015 is year 1.  For the assignment, do not worry about actual calendar years, just identify year 1, year 2, etc.

While not required, use of Excel or other spreadsheet software is recommended for this assignment.