Betsy acquired a new network system on June 5, 2015 (5-year class property), for $30,000.She expects taxable income from the business will always be about $85,000 without regard to the 179 election.Betsy will elect 179 expensing. She also acquired 7-year property in July 2015 for $170,000. Determine Betsy?s maximum cost recovery deduction with respect to her purchases in 2015: (UseTable 6A-1)(Round your intermediate calculations to the nearest whole dollar amount.)

Final PDF to printer 6-44 Chapter 6 Self-Employed Business Income (Line 12 of Form 1040 and Schedule C) Appendix General Depreciation System TABLE 6A-1 General Depreciation System 200% or 150% Declining Balance Switching to Straight-Line* Half-Year Convention Recovery Year 3-Year 5-Year 7-Year 10-Year 15-Year 20-Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 33.33 44.45 14.81 7.41 20.00 32.00 19.20 11.52 11.52 5.76 14.29 24.49 17.49 12.49 8.93 8.92 8.93 4.46 10.00 18.00 14.40 11.52 9.22 7.37 6.55 6.55 6.56 6.55 3.28 5.00 9.50 8.55 7.70 6.93 6.23 5.90 5.90 5.91 5.90 5.91 5.90 5.91 5.90 5.91 2.95 3.750 7.219 6.677 6.177 5.713 5.285 4.888 4.522 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 2.231 * May not be used for farm business property generally placed in service after 1988. See Table 14, Rev. Proc. 87-57. Copyright 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. TABLE 6A-2 General Depreciation System 200% or 150% Declining Balance Switching to Straight-Line* Mid-Quarter Convention (Property Placed in Service in 1st Quarter) Recovery Year 3-Year 5-Year 7-Year 10-Year 15-Year 20-Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 58.33 27.78 12.35 1.54 35.00 26.00 15.60 11.01 11.01 1.38 25.00 21.43 15.31 10.93 8.75 8.74 8.75 1.09 19.50 16.50 13.20 10.56 8.45 6.76 6.55 6.55 6.56 6.55 0.82 8.75 9.13 8.21 7.39 6.65 5.99 5.90 5.91 5.90 5.91 5.90 5.91 5.90 5.91 5.90 0.74 6.563 7.000 6.482 5.996 5.546 5.130 4.746 4.459 4.459 4.459 4.459 4.460 4.459 4.460 4.459 4.460 4.459 4.460 4.459 4.460 0.557 * May not be used for farm business property generally placed in service after 1988. See Table 15, Rev. Proc. 87-57. cru34820_ch06_001-061.indd6-44\b 10/01/15 10:36 PM