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The Peabody Company has 7 year MACRS property with an original cost basis of $1,700,000. Calculate the ending book value at Y

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Answer #1

  Ending book value at year 4:

= $743,410 - $1,700,000×12.49%

= $743,410 - $212,330

= $531,080

Hence, correct option is $531,080

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