Example MACRS Modified Accelerated Cost Recovery System
An asset initial cost is $900,000, and is a MACRS 5-year class and has a salvage
value of $70,000 and depreciates over 5 years. Calculate the Depreciation Schedule
if a 60% Bonus Depreciation is in place.
Year, $t$ MACRS, $r_t$ % Cost Basis $B_t$ Depreciation, $d_t$ $Cumul d_t$ $BV_t = B_t - \sum_{t=1}^{t} d_t$
1 20.00
2 32.00
3 19.20
4 11.52
5 11.52
6 5.76