Problem 6-46 (LO 6-3) Michael is the sole proprietor of a small business. In June 2018, his business income is $8,600 before consideration of any $179 deduction. He spends $226,000 on furniture and equipment in 2018. If Michael elects to take the $179 deduction and no bonus on a conference table that cost $22,300 (included in the $226,000 total), determine the maximum cost recovery for 2018 with respect to the conference table: (Use Table 6A-1 and Table 6A-2) (Round your intermediate calculations to the nearest whole dollar amount.) Maximum cost recovery TABLE 6A-1 General Depreciation System 200% or 150% Declining Balance Switching to Straight-Line* Recovery Year 10-Year 20-Year 3-Year 33.33 44.45 14.81 7.41 Half-Year Convention 5-Year 7-Year 20.00 14.29 32.00 24.49 19.20 17.49 11.52 12.49 11.52 8.93 5.76 8.92 8.93 4.46 10.00 18.00 14.40 11.52 9.22 7.37 6.55 6.55 6.56 6.55 3.28 15-Year 5.00 9.50 8.55 7.70 6.93 6.23 5.90 5.90 5.91 5.90 5.91 5.90 5.91 5.90 5.91 2.95 3.750 7.219 6.677 6.177 5.713 5.285 4.888 4.522 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 2.231 . May not be used for farm business property generally placed in service after 1988. See Table 14, Rev. Proc. 87-57. Mid-Quarter Convention (Property Placed in Service in 1st Quarter) TABLE 6A-2 General Depreciation System 200% or 150% Declining Balance Switching to Straight-Line* Recovery Year 15-Year 20-Year 6.563 3-Year 58.33 27.78 12.35 1.54 5-Year 35.00 26.00 15.60 11.01 11.01 1.38 7-Year 25.00 21.43 15.31 10.93 7.000 10-Year 19.50 16.50 13.20 10.56 8.45 6.76 6.55 6.55 6.56 8.75 8.74 8.75 1.09 8.75 9.13 8.21 7.39 6.65 5.99 5.90 5.91 5.90 5.91 5.90 5.91 5.90 5.91 5.90 0.74 6.55 0.82 6.482 5.996 5.546 5.130 4.746 4.459 4.459 4.459 4.459 4.460 4.459 4.460 4.459 4.460 4.459 4.460 4.459 4.460 0.557 May not be used for farm business property generally placed in service after 1988. See Table 15. Rev. Proc. 87-57