Harris Corp. is a technology start-up and is in its second year of operations. The company didnt purchase any assets this year but purchased the following assets in the prior year: Placed in Asset Service Basis Office equipment August 14 $ 11,600 Manufacturing equipment April 15 84,000 Computer system June 1 32,000 Total $ 127,600 Harris did not know depreciation was tax deductible until it hired an accountant this year and didnt claim any depreciation deduction in its first year of operation. (Use MACRS Table 1 and Table 2.) (Round your intermediate dollar calculations and final answer to the nearest whole dollar amount.)

a. What is the maximum amount of depreciation deduction Harris Corp. can deduct in its second year of operation?

DEPRECIATION EXPENSE = ?? (FYI _$34549 or $32957 or $15775 or $36513 are not correct)

TABLE 1 MACRS Half-Year Convention Depreciation Rate for Recovery Period 7-Year 14.29% 24.49 17.49 12.49 8.93 8.92 8.93 4.46 Year 3-Year 5-Year 10-Year 1 5-Year 20-Year 33.33% 44.45 14.81 7.41 20.00% 32.00 19.20 11.52 11.52 5.76 37505% 7.219 667 10.00% 18.00 14.40 11.52 9.22 7.37 6.55 6.55 6.56 6.55 3.28 5.00% 9.50 8.55 7.70 6.93 6.23 5.90 5.90 5.91 5.90 5.91 5.90 5.91 5.90 5.91 2.95 2 3 4 5.713 5.285 4.888 4.522 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 2.231 6 8 10 13 15 16 19 20 TABLE 2a MACRS Mid-Quarter Convention: For property placed in service during the first quarter Depreciation Rate for Recovery Period Year 7-Year 25.00% 21.43 15.31 0.93 8.75 8.74 8.75 1.09 15.60 TABLE 2b MACRS Mid-Quarter Convention: For property placed in service during the second quarter Depreciation Rate for Recovery Period Year 7-Year 17.85% 23.47 18.00 11.37 11.37 11.97 8.87 TABLE 2c MACRS Mid-Quarter Convention: For property placed in service during the third quarter Depreciation Rate for Recovery Period Year 10.71% 25.51 20.40 12.24 11.30 7.06 8.85 8.86 TABLE 2d MACRS-Mid Quarter Convention: For property placed in service during the fourth quarter Depreciation Rate for Recovery Period Year 7-Year 3.57% 27.55 19.68 14.06 10.04 8.73 8.73 7.64 22.80 13.68 10.94