The corporation decided to purchase $300,000 of additional specialty candy-making equipment in December. The corporation could buy the equipment in December or postpone until January of the new year. What effect would this decision have on the depreciation calculation with regard to the assets already placed in service? Be specific. What is Sec 179 Expensing election? How much and what assets are eligible? 

Are any of the assets not eligible? If so, explain. Does the company face either or both of the two limitations? Be specific in your explanation. What is bonus depreciation? How much and what assets are eligible? Are any of the assets not eligible? If so, explain. Does the company face any limitations? Be specific in your explanation. Assume that the corporation will maximize its cost recovery deductions. Using the Excel template, calculate the amount of MACRS depreciation, Section 179, and bonus depreciation. Explain the order of application and the overall strategy an organization would use to determine the method and amounts used for each. The company has taxable income for the year of $500,000. Current Year Expenditures Date Placed in Service Amount Building (building $950k; land $2500k)

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