Algorithmic) (LO. 3) McKenzie purchased qualifying equipment for his business that cost $267,100 in 2020. The taxable income of the business for the year is $120,000 before consideration of any § 179 deduction. If an amount is zero, enter "0". a. Calculate McKenzie's § 179 expense deduction for 2020 and any carryover to 2021. § 179 expense deduction for 2020: $ X X § 179 carryover to 2021: $ b. How would your answer change if McKenzie decided to use additional first-year (bonus) depreciation on the equipment instead of using § 179 expensing? Hint: See Concept Summary 8.3. § 179 expense deduction for 2020: $ 0 § 179 carryover to 2021: 0 Feedback ►Check My Work
