Enrico is a self-employed electrician.In May of the current year,Enrico acquired a used van (5-year property)for $12,000.He used the van 30% for business.The maximum depreciation deduction for the van is
A)$360.
B)$720.
C)$2,400.
D)$1,980.

Question

Quizplus · Accepted Answer

A)Because the van is listed property which is not used more than 50% in trade or business,ADS straight-line must be used.Depreciation is $12,000 × .10 × .30 = $360.The property is not eligible for either Sec.179 or bonus depreciation.(Table 11 in Appendix C)

Enrico Is a Self-Employed Electrician