Alice purchases a rental house on June 22, 2020, for a cost of $174,000. Of this amount, $100,000 is considered to be allocable to the cost of the home, with the remaining $74,000 allocable to the cost of the land. What is Alice's maximum depreciation deduction for 2020 using MACRS?

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a.$1,061

b.$2,373

c.$1,970

d.$1,364

e.$1,009

TABLE 8.5 Straight-Line Depreciation for Real Property Assuming Mid-Month Convention* 27.5-Year Residential Real Property The applicable annual percentage is (use the column for the month in the first year the property is placed in service): Recovery Year(s) 2 3 4 6 8 9 10 11 12 1 3.485 2.576 1.970 1.061 0.758 0.152 2.879 3.636 2.273 3.636 2-18 3.636 3.636 3.636 3.182 3.636 3.637 2.273 1.667 3.636 3.637 1.364 3.636 3.637 3.636 3.636 3.637 3.636 3.637 0.455 3.636 3.637 3.636 19-27 3.637 3.637 3.637 3.637 3.637 3.637 3.182 28 1.970 2.576 2.879 3.485 3.636 3.636 3.636 3.636 3.636 29 0.000 0.000 0.000 0.000 0.000 0.000 0.152 0.455 0.758 1.061 1.364 1.667 39-Year Nonresidential Real Property The applicable annual percentage is (use the column for the month in the first year the property is placed in service): Recovery Year(s) 1 3 5 6 7 9 10 11 12 1 2.461 2.247 2.033 1.819 1.605 1.391 1.177 0.963 0.749 0.535 0.321 2.564 0.107 2.564 2 39 2.564 2.564 2.564 2.564 2.564 2.564 2.564 2.564 2.564 2.564 0.963 40 0.107 0.321 0.535 0.749 1.177 1.391 1.605 1.819 2.033 2.247 2.461 *The official tables contain a separate row for each year. For ease of presentation, certain years are grouped together in these two tables. In some instances, this will produce a difference of .001 percent when compared with the official tables