YumYum 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: 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.What is YumYum's Section 179 deduction for 2015?
A)$500,000
B)$253,160
C)$25,000
D)$5,000

Question

YumYum 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:  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.What is YumYum's Section 179 deduction for 2015?
A)$500,000 
B)$253,160 
C)$25,000 
D)$5,000

Quizplus · Accepted Answer

Sec.179 expensing limited to $5,000 ($225,000 - $45,000 - $25,000 - $120,000 - $30,000).

YumYum Corporation (A Calendar-Year Corporation)moved into a New Office Building