GFC Corporation purchased a new $38,000 automobile for business use by its president in June, 2017.
a. Determine the corporation's maximum depreciation deduction in years 1 and 2. In what year will the corporation take its final depreciation deduction if the car is held until fully depreciated?
b. How would your answers change if the automobile was used instead of new when purchased in 2017?

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The Answer of GFC Corporation purchased a new $38,000 automobile for business use by its president in June, 2017.
a. Determine the corporation's maximum depreciation deduction in years 1 and 2. In what year will the corporation take its final depreciation deduction if the car is held until fully depreciated?
b. How would your answers change if the automobile was used instead of new when purchased in 2017?

GFC Corporation Purchased a New $38,000 Automobile for Business Use