Carolyn Purchases a New Delivery Truck (5-Year MACRS Property)costing $508,000

Multiple Choice

Carolyn purchases a new delivery truck (5-year MACRS property) costing $508,000 for use in her floral business on January 5,2016.If Carolyn's taxable income from the floral business before any special elections is $8,000 for 2016,what is her maximum allowable cost recovery on the delivery truck in 2016?

A) $-0-
B) $8,000
C) $108,000
D) $500,000
E) $508,000