What would be the depreciation

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Question - On November 10 of year 1, Javier purchased a building, including the land it was on, to assemble his new equipment. The total cost of the purchase was $1,200,000; $300,000 was allocated to the basis of the land and the remaining $900,000 was allocated to the basis of the building.

Required -

Using MACRS, what is Javier's depreciation deduction on the building for years 1 through 3?

What would be the year 3 depreciation deduction if the building was sold on August 1 of year 3?

Answer the question in part (a), except assume the building was purchased and placed in service on March 3 instead of November 10.

Answer the question in part (a), except assume that the building is residential property.

What would be the depreciation for 2020, 2021, and 2022 if the property were nonresidential property purchased and placed in service November 10, 2003 (assume the same original basis)?

Reference no: EM133140206

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