Columbia LLC Only Purchased One Asset This Year

question 7

Essay

Columbia LLC only purchased one asset this year. Columbia LLC placed in service on July 9, 2020, machinery and equipment (seven-year property)with a basis of $2,750,000. Assume that Columbia has sufficient income to avoid any limitations. Calculate the maximum depreciation deduction, including §179 expensing (but ignoring bonus depreciation)for the year. (Use MACRS Table 1.)

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Definitions:

Entrepreneurial Performance

A measure of the success and efficiency of an entrepreneur or business, often evaluated through financial metrics, market share growth, and innovation.

Fixed Mindset

is the belief that one's abilities and intelligence are static and unchangeable, often leading to avoidance of challenges and perseverance in the face of setbacks.

Entrepreneurial Mindset

A way of thinking that enables one to overcome challenges, be decisive, and accept responsibility for outcomes. It's key for starting and running a business.

Seeing an Opportunity

Identification of a potential for growth or improvement within a specific context.