Question 4

4 Frazier LLC placed in service on June 19, 2021 computer equipment (5-year property) with a basis of $2,740,000. Assume that Frazier has sufficient income to avoid any limitations. Calculate the maximum depreciation expense including $ 179 expensing (but ignoring bonus depreciation). (Use MACRS Table 1.) Multiple Choice $362.000 O $548,000 O O $1,050,000 O $1,292,000 O 20-Year 3.750% 7.219 6.677 6.177 5.713 5.285 4.888 4.522 4.462 Table 1 MACRS Half-Year Convention Depreciation Rate for Recovery Period 3-Year 5-Year 7-Year 10-Year 15-Year Year 1 33.33% 20.00% 14.29% 10.00% 5.00% Year 2 44.45 32.00 24.49 18.00 9.50 Year 3 14.81 19.20 17.49 14.40 8.55 Year 4 7.41 11.52 12.49 11.52 7.70 Year 5 11.52 8.93 9.22 6.93 Year 6 5.76 8.92 7.37 6.23 Year 7 8.93 6.55 5.90 Year 8 4.46 6.55 5.90 Year 9 6.56 5.91 Year 10 6.55 5.90 Year 11 3.28 5.91 Year 12 5.90 Year 13 5.91 Year 14 5.90 Year 15 5.91 Year 16 2.95 Year 17 Year 18 Year 19 Year 20 Year 21 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 2.231