Dax purchased only one asset during the current year. He placed in service equipment (7-year property) on September 10 with a basis of $40,000. Calculate the maximum depreciation expense (ignoring 179 and bonus depreciation). (Use MACRS Table 1.)

Multiple Choice

• $0.

• $5,716.

• $1,428.

• $16,000.

(I got 5,716 = 40,000 *14.29%