Way Corporation disposed of the following tangible personal property assets in the current year. Original Basis Date Date Acquired 5/12/15 Sold 7/15/19 3/15/19 3/13/19 Asset Convention Furniture (7-year) HY MQ $ 0, 000 97,000 Machinery (7-year) Delivery truck* (5-year) Machinery (7-year) Computer (5-year) 3/23/16 9/17/17 10/11/18 10/11/19 HY 8/11/19 12/15/19 40,000 296,000 100,000 HY *Used 100 percent for business. Assume that the delivery truck is not a luxury auto. Calculate Way Corporation's 2019 depreciation deduction (ignore $179 expense and bonus depreciation for this problem). (Use MACRS Table 1, Table 2, and Exhibit 10-6.) (Round your intermediate dollar calculations and final answer to the nearest whole dollar amount.) Depreciation deduction Depreciation Rate for Recovery Period 3-Year 5-Year 7-Year 10-Year 15-Year 20-Year Year 1 Year 2 33.33% 20.00% 14.29% 10.00% 5.00% 3.750% 44.45 32.00 24.49 18.00 9.50 7.219 Year 3 Year 4 14.81 19.20 17.49 14.40 8.55 6.677 7.41 11.52 12.49 11.52 7.70 6.177 Year 5 11.52 8.93 9.22 6.93 5.713 Year 6 5.76 8.92 7.37 6.23 5.285 Year 7 Year 8 8.93 6.55 5.90 4.888 4.46 6.55 5.90 4.522 Year 9 6.56 5.91 4.462 Year 10 Year 11 Year 12 Year 13 6.55 5.90 4.461 3.28 5.91 4.462 5.90 4.461 5.91 4.462 Year 14 5.90 4.461 Year 15 Year 16 5.91 4.462 2.95 4.461 Year 17 4.462 Year 18 Year 19 Year 20 Year 21 4.461 4.462 4.461 2.231 TABLE 2a MACRS Mid-Quarter Convention: For pr Depreciation Rate for Recovery Period 5-Year 7-Year Year 1 35.00% 25.00% Year 2 26.00 21.43 Year 3 15.60 15.31 Year 4 11.01 10.93 Year 5 11.01 8.75 Year 6 1.38 8.74 Year 7 8.75 Year 8 1.09 TABLE 2b MACRS Mid-Quarter Convention: For pr Depreciation Rate for Recovery Period 5-Year 7-Year Year 1 25.00% 17.85% Year 2 30.00 23.47 Year 3 18.00 16.76 Year 4 11.37 11.97 Year 5 11.37 8.87 Year 6 4.26 8.87 Year 7 8.87 Year 8 3.34 EXHIBIT 10-6 Mid-Quarter Convention Percentage of Full-Year's Depreciation in Year of Disposition Quarter of Disposition Percentage Calculation* 1st 12.5% 1.5/12 2nd 37.5 4.5/12 3rd 62.5 7.5/12 4th 87.5 10.5/12 *The calculation is the number of months the taxpayer held or is deemed to have held the asset in the year of disposition divided by 12 months in the year.