Assume FTN Corporation (calendar year end) has 2020 taxable income of $500,000 for purposes of computing the 179 expense. During 2020, FTN acquired the following assets:

Asset Placed in Service Basis

Machinery. August 12. $2,550,000

Computer Equipment. February 10. 365,000

Office Furniture. April 2 480,000

Determine FTN's maximum cost recovery under the following situations:

(a)FTN opts out of bonus depreciation but elects 179

Total Maximum Cost Recovery for 2020?

(b)FTN does NOT opt out of bonus depreciation.

Total Maximum Cost Recovery for 2020?