What will be the deduction for bonus depreciation

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Problem 1: Heizenburg Chemistry Labs Inc. purchased new five-year MACRS depreciable property in 2020 at a cost of $1,900,000. The property is eligible for section 179 depreciation and bonus depreciation, and Heizenburg elects to take the largest possible deduction. The property is depreciated using the standard MACRS half-year convention. What will be the deduction for bonus depreciation with respect to the property for 2020?

Option 1: $1,900,000
Option 2: $860,000
Option 3: $1,040,000
Option 4: $500,000
Option 5: $1,200,000

Reference no: EM132828243

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