phase 3 discussion board deliverable length 1000 1250 words details primary discussi 570734

Primary Discussion Response is due by Wednesday (11:59:59pm Central), Peer Responses are due by Sunday (11:59:59pm Central).

In January 2011, JIM, purchased $350,000 of new MACRS (Modified Accelerated Cost Recovery System) 5 year property in the United States. This equipment was placed in service May 1, 2011. JIM wants to take as much depreciation in 2011 as possible.

• Calculate the depreciation for 2011.
• If JIM had been located in a qualified enterprise zone, what would be the depreciation amount?
• Explain the depreciation method you used.

In addition, include the tax benefits (savings) for the first year and the present value of the total tax benefits for the entire 5 year period.

• Discuss how the tax benefits and present value would change if a different method of depreciation was used.
• Also, discuss when JIM would not choose to take as much depreciation as possible.