Suvi, Incorporated Purchased Two Assets During the Current Year (A

Multiple Choice

Suvi, Incorporated purchased two assets during the current year (a full 12-month tax year) .On August 10 Suvi placed in service computer equipment (five-year property) with a basis of $20,000 and on November 18 placed in service machinery (seven-year property) with a basis of $10,000. Calculate the maximum depreciation expense (ignoring §179 and bonus depreciation) . (Use MACRS Table 1.) (Round final answer to the nearest whole number.)

A) $857
B) $3,357
C) $5,429
D) $6,000
E) None of the choices are correct.