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Tasha LLC Purchased Furniture (7-Year Property) on April 20 for $20,000

Question 90

Multiple Choice

Tasha LLC purchased furniture (7-year property) on April 20 for $20,000 and used the half-year convention. Tasha did not take §179 or bonus depreciation in the year it acquired the furniture. During the current year, which is the fourth year Tasha LLC owned the property, the property was disposed of on December 15. Calculate the maximum depreciation expense. (Use MACRS Table 2) EXHIBIT 10-6  (Round final answer to the nearest whole number.)


A) $898.
B) $2,095.
C) $1,249.
D) $2,498.
E) None of the choices are correct.

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