Tan Company Acquires a New Machine (Ten-Year Property) on January

Multiple Choice

Tan Company acquires a new machine (ten-year property) on January 15, 2012, at a cost of $200,000.Tan also acquires another new machine (seven-year property) on November 5, 2012, at a cost of $40,000.No election is made to use the straight-line method.The company does not make the § 179 election. Tan takes additional first-year depreciation.Determine the total deductions in calculating taxable income related to the machines for 2012.

A) $24,000.
B) $25,716.
C) $102,000.
D) $132,858.
E) None of the above.