Fonzi purchases a personal computer for $4,000 on March 19, 2018. He used it personally for correspondence, keeping track of personal finances, and online database services. His children used it for schoolwork and games. On June 1, 2018, Fonzi starts a new secretarial service business and he converts the personal computer to 100% business use. The computer is worth $2,500 at the time (similar computers were selling for that amount in the used computer market).

a. What is Fonzi's depreciable basis? Briefly explain your reasoning.

b. Fonzi desires to minimize depreciation deductions on the computer. What is the minimum allowable depreciation for 2018?