Sophie Owns an Unincorporated Manufacturing Business

question 35

Multiple Choice

Sophie owns an unincorporated manufacturing business.In 2016,she purchases and places in service $2,017,000 of qualifying five-year equipment for use in her business.the equipment does not qualify for bonus depreciation.Her taxable income from the business before any Sec.179 deduction is $450,000.Sophie's elects to expense the maximum under Sec.179.What is Sophie's maximum total cost recovery deduction for 2016?

• A)$403,400
• B)$450,000
• C)$754,800
• D)$797,800

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Definitions:

P-value

The probability of observing results at least as extreme as those measured when the null hypothesis is true.

Hypotheses

Statements or predictions that can be tested through scientific research, designed to explain phenomena or the relationship between variables.

Population Proportion

The fraction of members in a group that possess a particular characteristic, often expressed as a percentage of the total population.

Confidence Interval

An assortment of values, from sampled evidence, which possibly contains the value of an unknown parameter of the population.