Assume that ACW Corporation has 2016 taxable income of $1,000,000 before the §179 expense and acquired the following assets during 2016 (assume no bonus depreciation).

LO 10-3 LO 10-2 research Asset Placed in Service Basis Machinery September 12 $ 470,000 Computer equipment February 10 70,000 Delivery truck August 21 93,000 Qualified leasehold improvements April 2 380,000 Total $1,013,000

a) What is the maximum amount of §179 expense ACW may deduct for 2016?

b) What is the maximum total depreciation expense that ACW may deduct in 2016 on the assets it placed in service in 2016?

61. Chaz Corporation has taxable income in 2016 of $312,000 before the §179 expense and acquired the following assets during the year:

LO 10-3 LO 10-2 Asset Placed in Service Basis Office furniture September 12 $1,280,000 Computer equipment February 10 930,000 Delivery truck August 21 68,000 Total $2,278,000 What is the maximum total depreciation expense that Chaz may deduct in 2016?