At the beginning of its 2018 tax year, Hiram owned the following business assets:

	Date Placed in Service	Initial Cost	Accumulated Depreciation	Recovery Period	Depreciation Convention
Furniture	6/19/16	$30,750	$11,925	7-year	Half-year
Equipment	5/2/15	70,000	49,840	5-year	Half-year
Machinery	9/30/15	58,000	41,296	5-year	Half-year

On July 8, Hiram sold its equipment. On August 18, it purchased and placed in service new tools costing $589,000; these tools are three-year recovery property. These were Hirams only capital transactions for the year. Compute Hirams maximum cost recovery deduction for 2018. In making your computation, assume that taxable income before depreciation exceeds $1,000,000.

THERE IS NO CALCULATION FOR TOOLS AS U SEE.

8 At the beginning of its 2018 tax year, Hiram owned the following business assets: Date Placed Initial Accumulated Recovery Depreciation in Service 6 points Furniture Equipment Machinery 6/19/16 5/2/15 9/30/15 Cost $30,750 70,000 58,000 Depreciation Period Convention 7-year Half-year 5-year Half-year 5-year Half-year $11,925 49,840 41,296 eBook Print References On July 8, Hiram sold its equipment. On August 18, it purchased and placed in service new tools costing $589,000; these tools are three-year recovery property. These were Hiram's only capital transactions for the year. Compute Hiram's maximum cost recovery deduction for 2018. In making your computation, assume that taxable income before depreciation exceeds $1,000,000. Use Table 7-2. (Enter all amounts as positive values. Round your intermediate computations and final answers to the nearest whole dollar amount.) 2018 MACRS Depreciation Furniture Equipment Machinery Total MACRS Depreciation Section 179/bonus on new tools Total 2018 cost recovery