Seafood Inc. purchased the following assets during Year 1: Office furniture $4,000, Delivery truck $25,000, Office building $400,000. What should be reported as the cost basis for MACRS seven-year property

Only Office furniture $4,000 should be reported as the cost basis for MACRS seven-year property by Seafood Inc.

Explanation:

Modified Accelerated Cost Recovery System (MACRS) refers to the US depreciation system under which there is a specific asset group with designated period of depreciation into which fixed assets are placed.

There is a depreciation table for all classes of assets which has been published by the Internal Revenue Service and MACRS seven-year property is one of these classes.

MACRS seven-year property implies that each of the assets under this class has seven years useful life, and assets under this class are office furniture and fixtures, agricultural machinery and equipment, natural gas gathering lines, and any asset not assigned to another class.

From the above therefore, only Office furniture $4,000 should be reported as the cost basis for MACRS seven-year property by Seafood Inc.

answer; /// i believe the correct answers are (b) change in population and (e) future expectation of check first, good luck

answer; 33,000;