Enrolled Agent Exam Part 2 UPDATED
ACTUAL Questions and CORRECT
Answers
Weight max for listed trucks - CORRECT ANSWER - 14000
Years to correct amortization error - CORRECT ANSWER -4
Weight limit for passenger cars - CORRECT ANSWER - 6000
ADS uses XX method of depreciation and has a XX. - CORRECT ANSWER - Straight
line, longer recovery
LISTED PROPERTY UNDER 50% business use must use x depreciation - CORRECT
ANSWER - ADS
Tax exempt property must use X depreciation - CORRECT ANSWER - ADS
Tangible property used mostly out of US must use... - CORRECT ANSWER - ADS
Listed property used over 50% for business can use XX and X - CORRECT ANSWER -
Section 179, MACRS
Recovery period for tractors and race horses - CORRECT ANSWER -3
Recovery period for cars, trucks, office equipment, rental furniture - CORRECT
ANSWER -5
,Recovery period for office furniture and fixtures - CORRECT ANSWER -7
Recovery period for barges, agriculture structure, trees, smart property - CORRECT
ANSWER - 10
Recovery period for waste treatment, communication plant - CORRECT ANSWER - 15
Recovery period for farm building, certain sewers, - CORRECT ANSWER - 20
Recovery period for water utility and certain sewers - CORRECT ANSWER - 25
Recovery period for residential rental property - CORRECT ANSWER - 27.5
Recovery period for Nonresidential rental property X% or X% - CORRECT ANSWER -
31.5, 39
Recovery period for roadbed or railroad track or tunnel - CORRECT ANSWER - 50
Railroad recovery period convention (month, half month, etc.)? - CORRECT ANSWER -
Half month
Residential recovery period convention (month or half month)? - CORRECT ANSWER -
Half month
Nonresidential recovery period convention (month or half month)? - CORRECT
ANSWER - Half month
Section 179 includes cash but not XXXX - CORRECT ANSWER - Like kind trade basis
, the section 179 deduction is limited to: - CORRECT ANSWER - 510000
Section 179 investment limit is - CORRECT ANSWER - 2030000
Section 1245 includes personal, intangible and/or agricultural structure property, but not... -
CORRECT ANSWER - Buildings
Section 179 recapture is on Form - CORRECT ANSWER - 4797
Bonus deduction is taken before or after section 179? - CORRECT ANSWER - After
Order for depreciation deduction - CORRECT ANSWER - Section 179, bonus, then
regular
Bonus deduction rates - % and % - CORRECT ANSWER - 50, 100
Bonus deduction can be taken on new or used property, or both? - CORRECT ANSWER -
Both
Goodwill and other intangibles can be amortized over X years - CORRECT ANSWER -
15
Maximum startup expense writeoff - CORRECT ANSWER - 5000
Two depletion methods for natural resources - x and x - CORRECT ANSWER - Cost,
percentage
Oil and gas must use cost depletion unless XX or XX - CORRECT ANSWER -
Independent producer, royalty owner
ACTUAL Questions and CORRECT
Answers
Weight max for listed trucks - CORRECT ANSWER - 14000
Years to correct amortization error - CORRECT ANSWER -4
Weight limit for passenger cars - CORRECT ANSWER - 6000
ADS uses XX method of depreciation and has a XX. - CORRECT ANSWER - Straight
line, longer recovery
LISTED PROPERTY UNDER 50% business use must use x depreciation - CORRECT
ANSWER - ADS
Tax exempt property must use X depreciation - CORRECT ANSWER - ADS
Tangible property used mostly out of US must use... - CORRECT ANSWER - ADS
Listed property used over 50% for business can use XX and X - CORRECT ANSWER -
Section 179, MACRS
Recovery period for tractors and race horses - CORRECT ANSWER -3
Recovery period for cars, trucks, office equipment, rental furniture - CORRECT
ANSWER -5
,Recovery period for office furniture and fixtures - CORRECT ANSWER -7
Recovery period for barges, agriculture structure, trees, smart property - CORRECT
ANSWER - 10
Recovery period for waste treatment, communication plant - CORRECT ANSWER - 15
Recovery period for farm building, certain sewers, - CORRECT ANSWER - 20
Recovery period for water utility and certain sewers - CORRECT ANSWER - 25
Recovery period for residential rental property - CORRECT ANSWER - 27.5
Recovery period for Nonresidential rental property X% or X% - CORRECT ANSWER -
31.5, 39
Recovery period for roadbed or railroad track or tunnel - CORRECT ANSWER - 50
Railroad recovery period convention (month, half month, etc.)? - CORRECT ANSWER -
Half month
Residential recovery period convention (month or half month)? - CORRECT ANSWER -
Half month
Nonresidential recovery period convention (month or half month)? - CORRECT
ANSWER - Half month
Section 179 includes cash but not XXXX - CORRECT ANSWER - Like kind trade basis
, the section 179 deduction is limited to: - CORRECT ANSWER - 510000
Section 179 investment limit is - CORRECT ANSWER - 2030000
Section 1245 includes personal, intangible and/or agricultural structure property, but not... -
CORRECT ANSWER - Buildings
Section 179 recapture is on Form - CORRECT ANSWER - 4797
Bonus deduction is taken before or after section 179? - CORRECT ANSWER - After
Order for depreciation deduction - CORRECT ANSWER - Section 179, bonus, then
regular
Bonus deduction rates - % and % - CORRECT ANSWER - 50, 100
Bonus deduction can be taken on new or used property, or both? - CORRECT ANSWER -
Both
Goodwill and other intangibles can be amortized over X years - CORRECT ANSWER -
15
Maximum startup expense writeoff - CORRECT ANSWER - 5000
Two depletion methods for natural resources - x and x - CORRECT ANSWER - Cost,
percentage
Oil and gas must use cost depletion unless XX or XX - CORRECT ANSWER -
Independent producer, royalty owner
