Fannie Farkel owns and operates Two Hump Camel Saddle Company, a sole proprietorship. During the current tax year, she had taxable income of $660,000 (before the Sec 179 deduction and the deduction for one-half of self-employment taxes) from her business. Fannie, elected Sec. 179 expensing on the machinery and equipment she purchased during the year and claimed bonus depreciation on all property that qualified. During the current tax year she went into competition with her twin sister, Sparkle Farkel, and began processing freeze dried lizard gizzards for her two hump camel customers (lizard gizzards have properties that are known to enhance a two hump camel's overall health, prevents fleas, and provides a luxurious sheen to its coat). The demand was great for the lizard gizzards and she purchased the following 100% business use properties: 1) A specialized utility truck weighing 15,000 pounds needed to transport raw, refrigerated lizard gizzards. The truck was purchased new and placed in service on February 15, this year. It cost $60,000. 2) Lizard gizzard gutting and freeze drying equipment costing $3,475,000 and placed in service on October 10, this year. 3) A patent, costing $17,000, that was developed in connection with the lizard gizzard freeze dryer, and placed in service, also on October 10, this year. The patent had a 17 year legal useful life. 4) MACRS depreciation for assets placed in service before the current tax year totaled $70,000. She had no other depreciable assets. 1) Prepare Fannie's 2020 form 4562, using the 2020 Sec. 179 limits, and the 2020 bonus depreciation rules. 2) Prepare Fannie's 2020 form 4562 without regard to Sec 179 and bonus depreciation. Fannie is single and lives alone at 123 South Dromedary Lane, South Bend, IN 46556, and her SSN is 123- 45-6789. She is eligible for no tax credits and she is not subject to Alternative Minimum Tax, ignore sec 263A adjustments. Fannie Farkel owns and operates Two Hump Camel Saddle Company, a sole proprietorship. During the current tax year, she had taxable income of $660,000 (before the Sec 179 deduction and the deduction for one-half of self-employment taxes) from her business. Fannie, elected Sec. 179 expensing on the machinery and equipment she purchased during the year and claimed bonus depreciation on all property that qualified. During the current tax year she went into competition with her twin sister, Sparkle Farkel, and began processing freeze dried lizard gizzards for her two hump camel customers (lizard gizzards have properties that are known to enhance a two hump camel's overall health, prevents fleas, and provides a luxurious sheen to its coat). The demand was great for the lizard gizzards and she purchased the following 100% business use properties: 1) A specialized utility truck weighing 15,000 pounds needed to transport raw, refrigerated lizard gizzards. The truck was purchased new and placed in service on February 15, this year. It cost $60,000. 2) Lizard gizzard gutting and freeze drying equipment costing $3,475,000 and placed in service on October 10, this year. 3) A patent, costing $17,000, that was developed in connection with the lizard gizzard freeze dryer, and placed in service, also on October 10, this year. The patent had a 17 year legal useful life. 4) MACRS depreciation for assets placed in service before the current tax year totaled $70,000. She had no other depreciable assets. 1) Prepare Fannie's 2020 form 4562, using the 2020 Sec. 179 limits, and the 2020 bonus depreciation rules. 2) Prepare Fannie's 2020 form 4562 without regard to Sec 179 and bonus depreciation. Fannie is single and lives alone at 123 South Dromedary Lane, South Bend, IN 46556, and her SSN is 123- 45-6789. She is eligible for no tax credits and she is not subject to Alternative Minimum Tax, ignore sec 263A adjustments