Steve Corp bought a $600,000 apartment building in June of 2015. Of the purchase price, $104,950 is allocated to the value of the land. What is the maximum amount of depreciation that the company can claim in 2018 (year 2) for the building?

a). $18,000.

b). $25,000 under the election to expense business property.

c). $9,752.

d). $21,816.

e). You cannot depreciate property costing over $500,000.