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Assume that ACW Corporation has 2021 taxable income of $1,960,000 for purposes of computing the 179 expense. The company acquired the following assets during 2021
Assume that ACW Corporation has 2021 taxable income of $1,960,000 for purposes of computing the 179 expense. The company acquired the following assets during 2021 (assume no bonus depreciation): (Use MACRS Table 1, Table 2 and Table 5.)
Asset | Placed in Service | Basis |
---|---|---|
Machinery | 12-Sep | $ 516,000 |
Computer equipment | 10-Feb | 116,000 |
Delivery truck | 21-Aug | 139,000 |
Qualified improvement property | 02-Apr | 1,426,000 |
Total | $ 2,197,000 |
- What is the maximum amount of 179 expense ACW may deduct for 2021?
- What is the maximum total depreciation that ACW may deduct in 2021 on the assets it placed in service in 2021?
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