The system in the U.S.which defines the allowable annual depreciation deductions for various classes of assets is known as:

Question

Quizplus · Accepted Answer

MACRS stands for Modified Accelerated Cost Recovery System and is the system used by the U.S. government to calculate the allowable annual depreciation deductions for various classes of assets. This system provides guidelines for determining the recoverable cost basis, useful life, and depreciation method for assets, allowing for a more accurate and standardized way of calculating depreciation deductions. Options B, C, and D are not valid systems for defining annual depreciation deductions in the U.S.

The System in the U