Question
Assume that Timberline Corporation has 2018 taxable income of $282,000 for purposes of computing the 179 expense. It acquired the following assets in 2018: (Use
Assume that Timberline Corporation has 2018 taxable income of $282,000 for purposes of computing the 179 expense. It acquired the following assets in 2018: (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) Purchase Asset Date Basis Furniture (7-year) December 1 $ 492,000 Computer equipment (5-year) February 28 132,000 Copier (5-year) July 15 72,000 Machinery (7-year) May 22 522,000 Total $ 1,218,000 c. What would Timberlines maximum depreciation deduction be for 2018 if the machinery cost $3,420,000 instead of $522,000 and assuming no bonus depreciation? (Round your intermediate calculations to the nearest whole dollar amount.) (Include 179 expense in answer)
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