A) Woolard Inc. has taxable income in 2016 of $150,000 before any depreciation deductions (§179, bonus, or MACRS) and acquired the following assets during the year:
Asset: Office furniture(used)
Placed in service: March 20
Basis $600,000
B) If Woolard elects the maximum amount of §179 for the year, what is the amount of deductible §179 expense for the year? What is the total depreciation expense that Woolard may deduct in 2016? What is Woolard's §179 carryforward amount to next year, if any?
C) Woolard is concerned about future limitations on its §179 expense. How much §179 expense should Woolard expense this year if it wants to maximize its depreciation this year and avoid any carryover to future years?