On August 2 2015 Wendy purchased a new office building for 3

On August 2, 2015, Wendy purchased a new office building for $3,800,000. On October 1, 2015, she began to rent out office space in the building. On July 15, 2019, Wendy sold the office building. What is Wendy\'s cost recovery deduction for 2015 and 2019?

Solution

a) her cost recovery for 2015 would be the amount she gets from renting the office space.

it should be rent amount. Must be given in the question or you need to put in the answer as \"rent\"

b) her cost recovery for 2019 will be the sum of the money she gets from renting the office space and the amount she gets after selling the office building.

3800000/(% applicable percentage mentioned in the table )

for example -if it is 2.564%

3800000/2.564 = 1482059.28