At the beginning of its 2016 tax year, Hiram owned the following business assets:

	Date Placed in Service	Initial Cost	Accumulated Depreciation	Recovery Period	Depreciation Convention
Furniture	6/19/14	$41,500	$16,094	7-year	Half-year
Equipment	5/2/13	80,500	57,316	5-year	Half-year
Machinery	9/30/13	55,750	39,694	5-year	Half-year

On July 8, Hiram sold its equipment. On August 18, it purchased and placed in service new tools costing $601,000; these tools are three-year recovery property. These were Hirams only capital transactions for the year. Compute Hirams cost recovery deduction for 2016. In making your computation, assume that taxable income before depreciation exceeds $1,620,000.

2016 MACRS Depreciation:

Furniture$___________

Equipment $____________

Machinery $____________

Tools $____________

Subtotal $____________ Section 179 $____________

Bonus Depreciation $___________

Total 2016 Cost Recovery $___________