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Karane Enterprises, a calendar-year manufacturer based in College Station, Texas, began business in 2021. In the process of setting up the business, Karane has acquired various types of assets. Below is a list of assets acquired during 2021:

Asset	Cost	Date Placed in Service
Office furniture	$ 400,000	02/03/2021
Machinery	1,610,000	07/22/2021
Used delivery truck*	90,000	08/17/2021

*Not considered a luxury automobile.

During 2021, Karane was very successful (and had no 179 limitations) and decided to acquire more assets in 2022 to increase its production capacity. These are the assets acquired during 2022:

Asset	Cost	Date Placed in Service
Computers and information system	$ 450,000	03/31/2022
Luxury auto*	92,500	05/26/2022
Assembly equipment	1,450,000	08/15/2022
Storage building	800,000	11/13/2022

*Used 100% for business purposes.

Karane generated taxable income in 2022 of $1,795,000 for purposes of computing the 179 expense limitation. (Use MACRS Table 1, Table 2, Table 3, Table 4, Table 5, and Exhibit 10-10.)

Note: Leave no answer blank. Enter zero if applicable. Input all the values as positive numbers.

A.)

Compute the maximum 2021 depreciation deductions, including 179 expense (ignoring bonus depreciation).

b. Compute the maximum 2022 depreciation deductions, including 179 expense (ignoring bonus depreciation).

c. Compute the maximum 2022 depreciation deductions, including 179 expense, but now assume that Karane would like to take bonus depreciation.

d. Now assume that during 2022, Karane decides to buy a competitor's assets for a purchase price of $1,649,500. Compute the maximum 2022 cost recovery, including 179 expense and bonus depreciation. Karane purchased the following assets for the lump-sum purchase price:

Note: Round your final answers to the nearest whole dollar amount.

Asset	Cost	Date Placed in Service
Inventory	$ 270,000	09/15/2022
Office furniture	280,000	09/15/2022
Machinery	300,000	09/15/2022
Patent	243,000	09/15/2022
Goodwill	6,500	09/15/2022
Building	480,000	09/15/2022
Land	70,000	09/15/2022

Assume that Karane takes the maximum section 179 expense for the Assembly Equipment.

e. Complete Karane Enterprises's Form 4562 for part (b).

Compute the maximum 2021 depreciation deductions, including $179 expense (ignoring bonus depreciation). b. Compute the maximum 2022 depreciation deductions, including $179 expense (ignoring bonus depreciation c. Compute the maximum 2022 depreciation deductions, including $179 expense, but now assume that Karane would like to take bonus depreciation. d. Now assume that during 2022 , Karane decides to buy a competitor's assets for a purchase price of $1,649,500. Compute the maximum 2022 cost recovery, Including $179 expense and bonus depreclation. Karane purchased the following assets for the lumpsum purchase price: Note: Round your final answers to the nearest whole dollar amount. Assume that Karane takes the maximum section 179 expense for the Assembly Equipment

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