Straight-line depreciation over the adr class

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Reference no: EM131809837

An asset with an 8-year ADR class life costs $50,000 and was purchased on January 1, 2001. Calculate any depreciation recapture, ordinary losses, or capital gains associated with selling the equipment on December 31, 2003, for $15,000, $25,000, and $60,000. Consider two cases of depreciation for the problem: if MACRS GDS is used, and if straight-line depreciation over the ADR class life is used with a $10,000 salvage value.

Reference no: EM131809837

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