Bet'r Bilt Toys just purchased some MACRS 5-year property at a cost of $230,000. Which of the following will correctly give you the book value of this equipment at the end of year 2?
I. 52% of the asset cost
II) 48% of the asset cost
III) 68% of 80% of the asset cost
IV) the asset cost,minus 20% of the asset cost,minus 32% of 80% of the asset cost

Question

Bet'r Bilt Toys just purchased some MACRS 5-year property at a cost of $230,000. Which of the following will correctly give you the book value of this equipment at the end of year 2?
 I. 52% of the asset cost
II) 48% of the asset cost
III) 68% of 80% of the asset cost
IV) the asset cost,minus 20% of the asset cost,minus 32% of 80% of the asset cost

Quizplus · Accepted Answer

The Answer of Bet'r Bilt Toys just purchased some MACRS 5-year property at a cost of $230,000. Which of the following will correctly give you the book value of this equipment at the end of year 2?
 I. 52% of the asset cost
II) 48% of the asset cost
III) 68% of 80% of the asset cost
IV) the asset cost,minus 20% of the asset cost,minus 32% of 80% of the asset cost

Bet'r Bilt Toys Just Purchased Some MACRS 5-Year Property at a Cost