Rustin Bought Used 7-Year Class Property on May 15,2015,for $728,000

question 39

Essay

Rustin bought used 7-year class property on May 15,2015,for $728,000.Rustin elects § 179 and straight-line cost recovery.Rustin's taxable income would not create a limitation for purposes of the § 179 deduction.Determine the maximum cost recovery deduction Rustin can claim for 2015.

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Definitions:

Consumer Product

Goods or services that are purchased by individuals for personal use.

Specialty Product

Products that are highly differentiated and unique, and for which consumers will make a special effort to seek out and purchase.

Brand Status

The perceived prestige and position of a brand in the minds of consumers, often associated with quality, luxury, or exclusivity.

Consumer Product

Goods or services that are purchased by individuals for personal or household use, as opposed to products bought for business purposes.