Question: Exercise 5-7 (Algorithmic) (LO. 7) In 2023, McKenzie purchased and placed into service qualifying equipment (7-year MACRS class) for his business that cost $309,500. The

Exercise 5-7 (Algorithmic) (LO. 7) In 2023, McKenzie purchased and placed into service qualifying equipment (7-year MACRS class) for his business that cost $309,500. The taxable income of the business for the year is $57,100 before consideration of any 5179 deduction. If an amount is zero, enter " 0 ". a. Calculate McKenzie's $179 expense deduction for 2023 and any carryover to 2024. \$ 179 expense deduction for 2023: $ 5179 carryover to 2024 : 5 b. How would your answer change if McKenzie decided to use additional first-year (bonus) depreciation on the equipment instead of using 5179 expensing? Hint: See Concept Summary 8.3. Additional first-year depreciation for 2023 : \$ MACRS cost recovery for 2023 : $ Total cost recovery for 2023

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