Arlington LLC purchased an automobile for $55,000 on July 5, 2019.What is Arlington's depreciation deduction for 2019 if its business-use percentage is 75 percent? (Ignore any possible bonus depreciation.)(Use Exhibit 10-10.)

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The depreciation deduction is calculated using the MACRS depreciation method for 5-year property. For 2019, the first-year depreciation rate for 5-year property is 20%. The business-use percentage is 75%, so the deduction is $55,000 * 20% * 75% = $8,250.

Arlington LLC Purchased an Automobile for $55,000 on July 5