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    This post addresses the cost recovery deduction in Year 4.

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    Several years ago, a taxpayer purchased 7 year recovery property as follows:
    May 15 - Black hoe - 475,000
    Oct 9 - Tractor - 575,000
    What was the cost recovery deduction for the Black Hoe in year 4?

    © BrainMass Inc. brainmass.com June 4, 2020, 2:38 am ad1c9bdddf
    https://brainmass.com/business/management-accounting/this-post-addresses-the-cost-recovery-deduction-in-year-4-471269

    Solution Preview

    The total amount of cost recovery for year 4 is 71,817.50 because it is a 7 year recovery property, and the percentage on ...

    Solution Summary

    The solution provides the correct answer with explanation and all needed calculations to show the exact amount of the cost recovery deduction for the Black Hoe in year 4.

    $2.19

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