The Only Asset Bill Purchased During 2010 Was a New

question 66

Multiple Choice

The only asset Bill purchased during 2010 was a new seven-year class asset.The asset,which was listed property,was acquired on June 17 at a cost of $50,000.The asset was used 40% for business,30% for the production of income,and the rest of the time for personal use.Bill always elects to expense the maximum amount under § 179 whenever it is applicable.The net income from the business before the § 179 deduction is $100,000.Determine Bill's maximum deduction with respect to the property for 2010.

• A)$1,428.
• B)$2,499.
• C)$26,749.
• D)$33,375.
• E)None of the above.