Acorn Construction (calendar-year end C-corporation) has had rapid expansion during the last half of the current year due to the housing market's recovery. The company has $5,000,000 of taxable income before the cost recovery deduction and would like to maximize its cost recovery deduction for the current year. Acorn provided the following information: Assets Placed in Service Basis New Equipment and Tools August 20 $3,900,000 Used Light Duty Trucks Used Machinery Total October 17 November 6 2,500,000 525,000 $6,925,000 The used assets had been contributed to the business by its owner in a nontaxable transaction. What is Acorn's maximum cost recovery expense in the current year?