Required information

The following information applies to the questions displayed below.] Harris Corp. is a technology start-up and is in its second year of operations. The company didnt purchase any assets this year but purchased the following assets in the prior year:

Asset	Placed in Service	Basis
Office Equipment	Aug 14	11,400
Manufacturing Equipment	April 15	82,000
Computer System	June 1	30,000
Total		108,000

Harris did not know depreciation was tax deductible until it hired an accountant this year and didnt claim any depreciation deduction in its first year of operation. (Use MACRS Table 1 and Table 2.) (Round your intermediate dollar calculations and final answer to the nearest whole dollar amount.)

a. What is the maximum amount of depreciation deduction Harris Corp. can deduct in its second year of operation?

b. What is the basis of the office equipment at the end of the second year?