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NEW QUESTION: 1
Which of the following do belong to the process of EMM? (Multiple choice)
A. Tracking area update
B. Authentication
C. EPS bearer getup
D. Attach
Answer: A,B,D
NEW QUESTION: 2
HOT SPOT
Answer:
Explanation:
NEW QUESTION: 3
Firmica recently bought a fleet of trucks which fall in the 5-year MACRS class for $135,000, with an additional $10,000 for shipping, minor taxes and paperwork. The trucks are expected to last for 7 years and have a total salvage value of $25,620. The recovery allowance for year 1 in the 5-year MACRS class is 20% and in the second year, it is 32%. In the second year, the depreciation expense arising from the fleet equals ________.
A. $46,400
B. $34,560
C. $37,120
D. $43,200
Answer: A
Explanation:
Explanation/Reference:
Explanation:
You should remember four things about MACRS:
1. Salvage value is never considered in calculating the depreciable basis.
2. The depreciable basis equals the purchase price plus all shipping and installation costs. 3. The depreciable basis does not change over the life of the asset in question.
4. Depreciation expense for any given year equals the allowed recovery percentage in that MACRS class times the depreciable basis.
Therefore, in this case, the depreciable basis equals $135,000 + $10,000 = $145,000 and the year 2 depreciation equals $145,000*32% = $46,400.
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