The ACRS was a 1986 modification of the property classes and the depreciation rates for accelerated depreciation method; used for assets purchased after 1986 to assist businesses in using depreciation as a tax write-off.

Question

​The ACRS was a 1986 modification of the property classes and the depreciation rates for accelerated depreciation method; used for assets purchased after 1986 to assist businesses in using depreciation as a tax write-off.

Quizplus · Accepted Answer

The ACRS (Accelerated Cost Recovery System) was introduced in 1981, not 1986. The modification made in 1986 is known as the Modified Accelerated Cost Recovery System (MACRS), which replaced ACRS for assets placed in service after 1986.

​The ACRS Was a 1986 Modification of the Property Classes

The ACRS Was a 1986 Modification of the Property Classes