Depreciation and amortization

This lesson is part of the full course.

In it you will learn to:

• Classify business assets by MACRS recovery period and identify the method and convention that apply
• Compute MACRS depreciation with the IRS percentage tables, including the mid-quarter and mid-month conventions and the year of disposition
• Apply the cost-recovery order for 2026: section 179, then bonus depreciation, then regular MACRS
• Determine whether property qualifies for bonus depreciation or the section 179 deduction, and apply the section 179 limits
• Compute amortization of section 197 intangibles, start-up and organizational costs, and research or experimental expenditures
• Review a depreciation and amortization schedule and resolve diagnostic flags