1. On July 15^th of the current year, Alexandre make numerous improvements to a business building he recently purchased. He purchases ($1,500,000) a new heating/cooling system (39 year useful life for MACRS) and also adds new computers ($50,000) to every room (5 year useful life). What is the maximum cost recovery Alexandre can receive off of these improvements?

1. 1,550,000
2. 1,055,885
3. 27,655
4. 67,655