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Margo, a calendar year taxpayer, paid $580,000 for new machinery (seven-year recovery property) placed in service on August 1, 2017 Use Table 7-2 a. Assuming
Margo, a calendar year taxpayer, paid $580,000 for new machinery (seven-year recovery property) placed in service on August 1, 2017 Use Table 7-2 a. Assuming that the machinery was the only tangible property placed in service during the year, compute Margo's maximum cost recovery deduction. b. How would your computation change if Margo paid $2,100,000 for the machinery? c. How would your computation change if Margo paid $2,750,000 for the machinery? d. How would your answer to part a change if the machinery was purchased in 2018 instead of 2017? For all requirements, round your intermediate computations to the nearest whole dollar amount.) Answer is not complete a Deduction 550,002 uction1,388,607 c. Deduction d. Deduction
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