2. Wally acquires and places in service a new machine (seven year property) on january 10, 2018 at a cost of $1,080,000. Wally makes the election to expense the maximum amount under 179, but does not elect to take any additional first - year depreciation allowance. Wally does elect to maximize his first year MACRS depreciation deduction. Determine the total depreciation deduction Wally may claim on his 2018 federal income tax return, based on the elections he wants to make? Assume Wally has taxable income of 350,000 in 2018.

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