Dain's Diamond Bit Drilling purchased the following assets this year.

PurchaseOriginalAssetDateBasis

Drill bits (5-year)Mar-08$102,000

Drill bits (5-year)Jul-11112,750

Commercial buildingJun-15224,000

Assume its taxable income for the year was $72,500 before deducting any 179 expense (assume no bonus depreciation). (UseMACRSTable 1,Table 2,Table 3,Table 4andTable 5.)(Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount. Leave no answer blank. Enter zero if applicable.)

a.What is the maximum amount of 179 expense Dain may deduct for the year?

b.What is Dain's maximum depreciation expense for the year (including 179 expense)?

c.If the March drill bits' original basis was $2,409,500, what is the maximum amount of 179 expense Dain may deduct for the year?