In 2012, Rydin Company Purchased One Asset Costing $48,400 and Elected

Multiple Choice

In 2012, Rydin Company purchased one asset costing $48,400 and elected to expense the entire cost. However, Rydin could only deduct $21,000 of the Section 179 expense because of the taxable income limitation. In 2013, Rydin purchased tangible personalty costing $480,000. Rydin's taxable income without regard to any Section 179 deduction was $2,912,400. Compute Rydin's 2013 Section 179 deduction.

A) $480,000
B) $500,000
C) $27,400
D) $507,400