[FlaglerAmanda]

Gleim Question –

Is there a correction online to this problem ?

I have the print book, no online access. I cannot figure their answer.

FAR - 86
BEC - 88
REG - 83
AUD - 74, 89 Done!!!!

Two business classes between me and being a FL CPA!!!

[Anonymous]

Hi there –

Yes, my version online is different choices:

a. 435,000

b. 145,000

c. 500,000

d. 2,000,000

Answer (A) is correct.

Tangible and depreciable personal property can be expensed by up to $500,000 in 2013, the year of acquisition. This amount is reduced when the amount of Sec. 179 property placed in service in a given year exceeds $2,000,000. Since this limit does not apply, the maximum deduction would be $500,000; however, there are other limits. Section 179(b)(3)(A) limits the deduction to taxable income derived from the active conduct of any trade or business. In this case, the maximum deduction is $435,000.

Keep in mind that this is not updated with the 2014 limits for sec. 179 which as I understand may or may not be maintained for 2014:

https://www.nolo.com/legal-encyclopedia/section-179-increased-limits-likely-2014-2015.html

To take away from the problem is that the deduction is limited by the taxable income.

[Anonymous]

Hi there –

Yes, my version online is different choices:

a. 435,000

b. 145,000

c. 500,000

d. 2,000,000

Answer (A) is correct.

Tangible and depreciable personal property can be expensed by up to $500,000 in 2013, the year of acquisition. This amount is reduced when the amount of Sec. 179 property placed in service in a given year exceeds $2,000,000. Since this limit does not apply, the maximum deduction would be $500,000; however, there are other limits. Section 179(b)(3)(A) limits the deduction to taxable income derived from the active conduct of any trade or business. In this case, the maximum deduction is $435,000.

Keep in mind that this is not updated with the 2014 limits for sec. 179 which as I understand may or may not be maintained for 2014:

https://www.nolo.com/legal-encyclopedia/section-179-increased-limits-likely-2014-2015.html

To take away from the problem is that the deduction is limited by the taxable income.

[VR]

Wow, FlaglerAmanda, you FAR score very impressive! Did you use Gleim for FAR? I am currently studying for FAR using Becker and supplementing it with Gleim MCQ and I am getting so depressed…. I am moving through the questions so slowly, because they are so hard and detailed. Today, I was studying pensions and I scored 42… Pensions is already hard topic, but it seems for me that Becker even didn't go into such details like Gleim and some topics are even not covered in Becker. I feel like crying…. My exam is scheduled on 11/29, but I don't think that I will be ready by this time and I don't want to sit for exam knowing that I have very slim chances passing it. I did that before and it never worked.

[VR]

Wow, FlaglerAmanda, you FAR score very impressive! Did you use Gleim for FAR? I am currently studying for FAR using Becker and supplementing it with Gleim MCQ and I am getting so depressed…. I am moving through the questions so slowly, because they are so hard and detailed. Today, I was studying pensions and I scored 42… Pensions is already hard topic, but it seems for me that Becker even didn't go into such details like Gleim and some topics are even not covered in Becker. I feel like crying…. My exam is scheduled on 11/29, but I don't think that I will be ready by this time and I don't want to sit for exam knowing that I have very slim chances passing it. I did that before and it never worked.

[FlaglerAmanda]

@Beautiful, thank you!!!

@VR, I've used Gleim throughout. FAR was especially good because they have the multimedia outline AND videos. Worth it for extra oomph when you need a little help on a section.

FAR - 86
BEC - 88
REG - 83
AUD - 74, 89 Done!!!!

Two business classes between me and being a FL CPA!!!

[FlaglerAmanda]

@Beautiful, thank you!!!

@VR, I've used Gleim throughout. FAR was especially good because they have the multimedia outline AND videos. Worth it for extra oomph when you need a little help on a section.

FAR - 86
BEC - 88
REG - 83
AUD - 74, 89 Done!!!!

Two business classes between me and being a FL CPA!!!

[NCCPA Hopeful]

Thank goodness I found this here because I was just working this question today and could not figure out how the answer could not be $435,000 (the amount of their business income).

I'm taking REG on January 9th and using the Gleim & Wiley review books for 2014 which contain the limits for 2013. Is it possible the updated limits to sec. 179 for 2014 will be on my exam?

[NCCPA Hopeful]

Thank goodness I found this here because I was just working this question today and could not figure out how the answer could not be $435,000 (the amount of their business income).

I'm taking REG on January 9th and using the Gleim & Wiley review books for 2014 which contain the limits for 2013. Is it possible the updated limits to sec. 179 for 2014 will be on my exam?

[Author]

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