Dains Diamond Bit Drilling purchased the following assets this year.

Asset	Purchase Date	Original Basis
Drill bits (5-year)	February 11	$	110,500
Drill bits (5-year)	September 13		118,750
Commercial building	April 8		306,000

Assume its taxable income for the year was $57,000 before deducting any 179 expense (assume no bonus depreciation but assume that the 2014 179 limits are extended to 2015). (Use MACRS Table 1,Table 2, Table 3, Table 4 and Table 5.) (Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount.)

a.

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

b.	What is Dains maximum depreciation expense for the year (including 179 expense)?

c.	If the February drill bits original basis was $2,406,500, what is the maximum amount of 179 expense for the year? Dain may deduct for the year?(Leave no answer blank. Enter zero if applicable.)

d.	If the February drill bits basis was $2,526,500, what is Dains maximum 179 expense for the year?(Leave no answer blank. Enter zero if applicable.)