Answer:
$703
Explanation:
Calculation for the amount that Barbara will be able to deduct If she sells the appliances in March of Year 4
Purchase value $10,000
MARC rate for 4 years 14.06
Proportion of the year factor- Mid quarter (1.5/12)
Therefore the Depreciation deduction allowed will be:
(40,000 ×14.06%)/12^⁴(1.5)
= $703