Kar Company, a calendar year taxpayer, paid $3,350,000 for a residential apartment complex and allocated $350,000 of the cost to the land and $3,000,000 of the cost to the building. Kar place the realty in service on September 29. Refer to the appropriate MACRS Table in Chapter 7 to compute Kar's first-year depreciation on the realty. Use Table 7-3.

Multiple Choice

• $31,830

• $35,544

• $22,470

• None of these choices are correct