When allocating expenses of a vacation home between personal use and rental use, the amount of depreciation expense allocated to the rental use is always the ratio of rental days over rental days plus personal-use days.

Question

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This is the correct method for allocating depreciation expense between rental use and personal use of a vacation home. The ratio of rental days over rental days plus personal-use days is used to determine the percentage of expenses that should be allocated to rental use.

When Allocating Expenses of a Vacation Home Between Personal Use