Question: Explain the maximum Section 179 expense and maximum deductible depreciation using support from current tax guidelines. Assume that ACW Corporation has 2022 taxable income of

Explain the maximum Section 179 expense and maximum deductible depreciation using support from current tax guidelines.

Assume that ACW Corporation has 2022 taxable income of $1,500,000 for purposes of computing the 179 expense. The company acquired the following assets during 2022 (assume no bonus depreciation):

assets	placed in service	basis
machinery	12-Sep	470,000
computer equipment	10-Feb	70,000
delivery truck	21-Aug	93,000
qualified real property (MACRS, 15year, 150%DB)	2-Apr	1,380,000
total		2,013,000

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