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Business, 15.02.2022 14:00 leannaadrian

Szabi Incorporated, a calendar year taxpayer, purchased two assets during 2021: a machine costing $680,000 and computer equipment costing $553,500. The machine is 7-year recovery property and the computer equipment is 5-year recovery property. Which of the following statements is true? Multiple Choice Under Section 179, Szabi should elect to expense the $680,000 cost of the machine and $370,000 of the cost of the computer equipment. Under Section 179, Szabi should elect to expense the $553,500 cost of the computer equipment machine and $496,500 of the cost of the machine. Under Section 179, Szabi must elect to expense $525,000 of the cost of the machine and $525,000 of the cost of the computer equipment. Under Section 179, Szabi is indifferent as to which costs to expense.

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Szabi Incorporated, a calendar year taxpayer, purchased two assets during 2021: a machine costing $6...
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