Real Estate Math
A Vermont property owner depreciates a $250,000 residential rental building (not land) over 27.5 years using straight-line depreciation. What is the annual depreciation deduction?
A$7,500
B$9,091✓ Correct
C$10,000
D$12,500
Explanation
Annual depreciation = $250,000 ÷ 27.5 years = $9,090.
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