LO.2, 3 Olga is the proprietor of a small business. In 2012, the business income, before consideration of any cost recovery or § 179 deduction, is $250,000. Olga spends

$600,000 on new seven-year class assets and elects to take the § 179 deduction on them.

She elects not to take additional first-year depreciation. Olga’s cost recovery deduction for 2012, except for the cost recovery with respect to the new seven-year assets, is

$95,000. Determine Olga’s total cost recovery for 2012 with respect to the seven-year class assets and the amount of any § 179 carryforward.