Mccanless co. recently purchased an asset for $2,800,000 that will be used in a 3-year project. the asset is in the 4-year macrs class. the depreciation percentage each year is 33.33 percent, 44.45 percent, 14.81 percent, and 7.41 percent, respectively. what is the amount of depreciation in year 2?

= $1,244,600

Explanation:

Cost of asset = $2,800,000

Using MACRS depreciation schedule, calculate depreciation amount per year by multiplying each year's depreciation percentage by the cost of the asset;

Depreciation percentage (Yr1 ) = 33.33% or 0.3333 as a decimal

Depreciation amount (Yr1 ) = 0.3333 * $2,800,000 = $933,240

Depreciation percentage (Yr2 ) = 44.45% or 0.4445 as a decimal

Depreciation amount (Yr2 ) = 0.4445 * $2,800,000 = $1,244,600

answer; realistic job preview;