Yum Yum Corporation (a calendar-year corporation) moved into a new office building adjacent to its manufacturing plant in 2015. It purchased and placed in service the following assets during 2015:

Date Acquired Asset Description Cost

March 4 New Office building $850,000

March 15 New Computer Equipment $45,000

March 25 New Office Furniture $25,000

August 20 Used Machinery $120,000

December 15 New Automobile $30,000

All assets are used 100% for business use. The office building does not include the cost of the land on which it is located that was an additional $300,000. The corporation had $900,000 income from operations before calculating depreciation deductions.

(1) If Yum Yum does not use Section 179 expensing and it elects to use straight-line depreciation on all of its assets, how much is its 2015 depreciation deduction? A. $17,281 B. $28,972 C. $35,134 D. $35,394

(2) If Yum Yum Corporation made all elections available to maximize its overall depreciation deduction for 2015, what would its maximum cost recovery deduction be for 2015? A. $17,281 B. $35,134 C. $54,447 D. $57,287