In 2023, Silver Corporation purchases the following properties to use in its business:

Silver claims the maximum allowed Sec. 179 expensing and bonus depreciation, and it uses the calendar year as its tax year.

a. What is Silver’s total depreciation deduction for 2023?

b. What is Silver’s total depreciation deduction for 2024? Note that 2024 bonus depreciation is 60%. Assume the dollar amounts for the maximum Sec. 179 election for 2023 also apply for 2024. Assume also that Silver does not place in service any other property.

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Property MACRS Recovery Period Trucks 5 years Cost $2,000,000 Placed in service February 15, 2023 Machinery 7 years 5,000,000 May 1, 2023 Land N/A 6,000,000 July 1, 2023 Building 39 years 10,000,000 December 1, 2023 Equipment 5 years 5,500,000 January 5, 2024