Beth's Business Purchased Only One Asset During the Current Year

Multiple Choice

Beth's business purchased only one asset during the current year (a full 12-month tax year) . On December 1 Beth placed in service machinery (seven-year property) with a basis of $50,000. Calculate the maximum depreciation expense (ignoring §179 and bonus depreciation) . (Use MACRS Table 2.)

A) $1,785
B) $2,500
C) $7,145
D) $10,000
E) None of the choices are correct.