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New Machine will cost $750,000, and will be depreciated using 7-year MACRS. Old Machine is 2 years old, originally cost $500,000, and is depreciated using

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New Machine will cost $750,000, and will be depreciated using 7-year MACRS. Old Machine is 2 years old, originally cost $500,000, and is depreciated using 5-year MACRS. Given the information above, what is the change (ie, incremental or difference) in depreciation for Year 3? $188,500 S161,500 $124.500 $72,500

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