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AMP Corporation (calendar-year-end) has 2018 taxable income of $900,000 for purposes of computing the 179 expense. During 2018, AMP acquired the following assets: Asset Placed

  1. AMP Corporation (calendar-year-end) has 2018 taxable income of $900,000 for purposes of computing the 179 expense. During 2018, AMP acquired the following assets:

Asset Placed in Service Basis
Machinery September 12 $1,550,000
Computer equipment February 10 365,000
Office building April 2 480,000
Total $2,395,000
    • What is the maximum amount of 179 expense AMP may deduct for 2018?

    • What is the maximum total depreciation including 179 expense, that AMP may deduct in 2018 on the assets it placed in service in 2018 assuming no bonus depreciation?

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