Rodriguez Corporation Acquired 7-Year Property Costing $450,000 on October 1

question 67

Multiple Choice

Rodriguez Corporation acquired 7-year property costing $450,000 on October 1, 2018. This is the only property acquired this year and Rodriguez elects to expense the maximum amount under Section 179 without applying bonus depreciation. Rodriguez's income before deducting depreciation is $320,000. What is the maximum amount that Rodriguez can deduct in 2018 for Section 179 expensing?

• A) $25,000
• B) $130,000
• C) $320,000
• D) $450,000

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Definitions:

Unconditioned Response

An automatic, natural reaction to a stimulus that occurs without the need for prior learning.

Conditioned Response

A learned response to a previously neutral stimulus that has become associated with an unconditioned stimulus through conditioning.

Generalization

The process of applying the response to a specific stimulus to similar stimuli.

Habituation

Decreased responsiveness to a stimulus after repeated presentations.