Listed property used 50% or less for business is still eligible for Section 179

Question

Listed property used 50% or less for business is still eligible for Section 179 expensing, provided the taxpayer is the original owner of the listed property.

Question 1 options:

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Question 2 (8 points)

In years in which bonus depreciation was allowed, bonus depreciation reduced the adjusted basis of property in the same manner that regular MACRS depreciation does.

Question 2 options:

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Question 3 (8 points)

A building placed in service in 1998 is sold on July 9, 2014. In computing 2014 depreciation, a full year's depreciation is multiplied by 7.5/12.

Question 3 options:

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Question 4 (8 points)

For depreciable personal property placed in service in 2014, the mid-quarter convention applies if more than 25% of all depreciable personal property is placed in service during the last quarter of the taxable year.

Question 4 options:

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Question 5 (8 points)

Personal property depreciated using the mid-quarter convention is sold in June 2014. The percentage from the mid-quarter table is multiplied by 5.5/12 when computing MACRS in 2014.

Question 5 options:

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Question 6 (8 points)

A taxpayer acquires equipment for $10,000. Which one of the following choices is not an acceptable cost recovery period under either MACRS (regular or alternate) or ADS?

Question 6 options:

Straight-line for 7 years

Straight-line for 10 years

150% declining balance for 7 years

150% declining balance for 10 years

200% declining balance for 7 years

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Question 7 (8 points)

What is the maximum depreciation in 2014 for a new automobile used 100% for business that was acquired on July 2, 2014, for $28,000? Assume Section 179 is not elected and that this is the only property placed in service during the year.

Question 7 options:

$3,160

$28,000

$2,800

$5,600

$11,160

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Question 8 (8 points)

Which of the following items acquired as part of an acquisition of a business is not Section 197 intangible property?

Question 8 options:

Goodwill

Customer lists

A copyright

Supplier-based intangibles

All of the above are Section 197 intangible property

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Question 9 (8 points)

The MACRS basis of 5-year property acquired on January 13, 20X1 is $10,000. The property is sold on July 31, 20X2. If the mid-quarter convention applies to personal property acquired in 20X1 and straight-line MACRS is used, depreciation expense for 20X2 is:

Question 9 options:

$1,250.

$1,000.

$2,000.

$1,083.

$1,167.

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Question 10 (8 points)

The MACRS basis of 5-year property acquired on January 13, 20X1 is $10,000. The property is sold on July 31, 20X3. If the half-year convention applies to personal property acquired in 20X1 and the regular (accelerated) MACRS method is used, depreciation expense for 20X3 is:

Question 10 options:

$2,000.

$1,920.

$1,600.

$960.

$800.

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Question 11 (8 points)

If a security deposit is to be used as a final payment of rent, the taxpayer includes it in income in the year of receipt.

Question 11 options:

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Question 12 (8 points)

A non-real estate activity will not be classified as a passive activity if the taxpayer participates in the activity for more than 500 hours during the year.

Question 12 options:

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Question 13 (8 points)

When an entire interest in a passive activity is disposed of, any suspended losses remaining on that activity are lost forever.

Question 13 options:

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Question 14 (8 points)

The rules for meeting the material participation test for real estate activities are more strict than the rules for meeting the material participation test for other (non-real estate) types of activities.

Question 14 options:

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Question 15 (8 points)

A husband and wife can pool their hours for purposes of meeting the material participation requirement for all activities.

Question 15 options:

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Question 16 (8 points)

Which of the following uses of a dwelling unit does not count as personal use?

Question 16 options:

The taxpayer's parents use the unit for two weeks and pay a fair rental price.

The dwelling is rented to a friend for less than a fair rental price.

The taxpayer stays at the dwelling while working full-time to replace the roof.

All of the above count as personal use.

None of the above count as personal use.

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Question 17 (8 points)

Which of the following is not considered in computing the taxpayer's amount at-risk with respect to a particular activity?

Question 17 options:

Money contributed to the activity

Adjusted basis of property contributed to the activity

Amounts borrowed where the taxpayer is personally liable

Loans where the mortgaged property is used as collateral for the loan

All of the above qualify as amounts at-risk

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Question 18 (8 points)

Over how many years is new carpeting depreciated if the taxpayer elects to use the alternative depreciation system (ADS)?

Question 18 options:

5 years

7 years

9 years

10 years

12 years

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Question 19 (8 points)

Which of the following situations do not count as days of personal use by the owner of rental property?

Question 19 options:

The taxpayer stays at the house for 10 days while making repairs to the property.

The taxpayer's sister pays a fair rental price to rent the property for 10 days during the year.

The taxpayer donates a week of use to a qualified charitable organization.

All of the above count as days of personal use.

None of the above count as days of personal use.

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Question 20 (8 points)

To qualify for the special deduction for active participation in rental real estate, what percentage of the activity must the taxpayer own throughout the year?

Question 20 options:

at least 10%

more than 10%

at least 50%

more than 50%

at least 80%

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Question 21 (8 points)

A loss incurred on the sale of a personal residence is not deductible.

Question 21 options:

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Question 22 (8 points)

The donee's basis in depreciated property (when the FMV at the time of the gift is less than the donor's basis) is FMV at the time of the gift.

Question 22 options:

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Question 23 (8 points)

The basis of shares of stock acquired in a nontaxable stock dividend is the FMV of the shares at the time the dividend was paid.

Question 23 options:

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Question 24 (8 points)

If a taxpayer cannot specifically identify which shares of stock were sold, the average cost of all shares held is used as the adjusted basis of the shares that were sold.

Question 24 options:

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Question 25 (8 points)

A taxpayer who receives additional shares of stock as part of a taxable stock dividend must prorate the adjusted basis of the old stock to the total shares of old and new stock held.

Question 25 options:

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Question 26 (8 points)

Benito died on May 23, 2014, bequeathing his entire $3,000,000 estate to his brother, Alfonso. The executor of Benito's estate validly elected to use the alternative valuation date. Benito's estate included 4,000 shares of listed stock, for which Benito's basis was $500,000. The stock was distributed to Alfonso eight months after Benito's death. The fair market values of this stock on various dates follow:

Alfonso's basis in the stock is:Question 26 options:

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Question 27 (8 points)

Teresa, a self-employed consultant, traded in her old computer for a newer model. In addition to trading in her old computer, Teresa paid $7,000 for the newer model. Other relevant information about the trade-in is shown below:

Teresa's basis in the new computer is:Question 27 options:

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Question 28 (8 points)

A warehouse was damaged in a storm. The warehouse was worth $225,000 before the casualty and $65,000 after the casualty. The taxpayer's adjusted basis in the warehouse was $77,000. The insurance company reimbursed the taxpayer $150,000 for its loss. To avoid paying tax on the realized gain, how much must the taxpayer reinvest and in what type of property?

Question 28 options:

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Question 29 (8 points)

Years ago, Fran purchased stock in ABC company for $33,000. Last year, Fran sold the stock to her son, Steve, for $25,000 (its current market value). Steve later sells the shares for $20,000. Steve's adjusted basis in the stock and his recognized gain or loss on the sale are:

Question 29 options:

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Question 30 (8 points)

No taxable income results from a stock split.

Question 30 options:

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Question 31 (8 points)

Unrecaptured Section 1250 gain is taxed as ordinary income.

Question 31 options:

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Question 32 (8 points)

Section 1231 applies to all business property.

Question 32 options:

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Question 33 (8 points)

The taxpayer's net capital gain is zero if the taxpayer has a net short-term capital gain.

Question 33 options:

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Question 34 (8 points)

Gains on the sale of property to a related party are treated as ordinary gains.

Question 34 options:

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Question 35 (8 points)

When several personal casualties occur during the year, the taxpayer computes a net gain or loss for each casualty.

Question 35 options:

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Question 36 (8 points)

An individual purchases a capital asset on May 15, 2014. What is the earliest date that it can be disposed of in order to qualify for long-term treatment?

Question 36 options:

November 16, 2014

November 17, 2014

May 15, 2015

May 16, 2015

None of the above

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Question 37 (8 points)

If certain conditions are met, which of the following properties could be subject to Section 1245 depreciation recapture?

Question 37 options:

Land

Delivery truck

Apartment building

Inventory

None of the above would ever be subject to Section 1245 depreciation recapture

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Question 38 (8 points)

An unmarried taxpayer sells the following capital assets during the year.

The taxpayer carries over to the next tax year:Question 38 options:

a $4,000 short-term capital loss.

a $1,000 short-term capital loss and a $2,000 long-term capital loss.

a $3,000 short-term capital loss.

a $2,000 short-term capital loss and a $1,000 long-term capital loss.

a $3,000 long-term capital loss.

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Question 39 (8 points)

In 2014, Rick had a $12,000 gain on the sale of stock purchased three years ago, a $7,000 loss on the sale of a personal use automobile, and a $3,000 loss from the sale of land used in his business (owned for six years). These are Rick's only property transactions during the year. Once the netting process is complete, on his tax return Rick's gains and losses will be treated as:

Question 39 options:

a $3,000 ordinary loss and a $9,000 net long-term capital loss.

a $2,000 net capital gain.

a $3,000 ordinary loss and a $12,000 net capital gain.

a $9,000 net capital gain.

none of the above.

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Question 40 (8 points)

The lookback period for purposes of computing nonrecaptured Section 1231 losses is:

Question 40 options:

7 years.

3 years.

10 years.

5 years.

indefinite.

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Question 41 (8 points)

It is possible that the work opportunity tax credit (WOTC) for hiring a qualified long-term family assistance recipient could span over three of the employers tax years.

Question 41 options:

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Question 42 (8 points)

When general business credits from more than one year are carried over, in each carryover year, the most recent credits are used first.

Question 42 options:

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Question 43 (8 points)

Starting in 2014, the credit for small employer health insurance premiums is only available for two years.

Question 43 options:

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Question 44 (8 points)

In order to avoid recapture of the rehabilitation credit, the taxpayer cannot dispose of the property within five years of taking the credit.

Question 44 options:

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Question 45 (8 points)

If an eligible employee's first-year wages span over two of the employer's tax years, the employer can take the work opportunity tax credit (WOTC) over two tax years.

Question 45 options:

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Question 46 (8 points)

Which of the following statements regarding the disabled access credit is not correct?

Question 46 options:

The maximum disabled access credit is $5,000.

The credit is equal to 50% of the eligible expenditures.

The depreciable basis of any improvement must be reduced by the amount of the credit claimed.

Only expenditures greater than $10,000 are eligible for the credit.

None of the above.

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Question 47 (8 points)

On January 1, 2013, an employer hires a long-term family assistance recipient to work full-time. The workers wages are $12,000 for both 2013 and 2014. The employers work opportunity tax credit (WOTC) with respect to this worker is:

Question 47 options:

$5,000 in both years.

$4,000 in both years.

$4,000 in 2013 and $5,000 in 2014.

$4,800 in 2013 and $6,000 in 2014.

None of the above.

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Question 48 (8 points)

A married couple with alternative minimum taxable income (AMTI) of $332,100 is allowed an AMT exemption in 2014 equal to:

Question 48 options:

$0.

$19,600.

$38,200.

$43,900.

$82,100.

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Question 49 (8 points)

The taxpayer's adjusted basis in a certified historic structure is $100,000. During the year, the taxpayer spends $120,000 to rehabilitate the building. The taxpayer's adjusted basis in the building after taking into consideration the improvements and the rehabilitation credit is:

Question 49 options:

$220,000.

$196,000.

$208,000.

$176,000.

None of the above.

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Question 50 (8 points)

In 2013, an employer hires an unemployed veteran with a service-related disability (wounded warrior). Prior to the hire date, the veteran had been out of work for 9 months. The worker's first-year wages are $27,000, of which $10,000 was paid in 2013. The employer's work opportunity tax credit (WOTC) with respect to this worker is:

Question 50 options:

$4,000 in 2013 and $0 in 2014.

$4,000 in 2013 and $800 in 2014.

$4,000 in 2013 and $5,600 in 2014.

$9,600 in 2013 and $0 in 2014.

None of the above.

True False Listed property used 50% or less for business is still eligible for Section 179 expensing, provided the taxpayer is the original owner of the listed property. Question 1 options: True False Save Question 2 (8 points) In years in which bonus depreciation was allowed, bonus depreciation reduced the adjusted basis of property in the same manner that regular MACRS depreciation does. Question 2 options: True False Save Question 3 (8 points) A building placed in service in 1998 is sold on July 9, 2014. In computing 2014 depreciation, a full year's depreciation is multiplied by 7.5/12. Question 3 options: True False Save Question 4 (8 points) For depreciable personal property placed in service in 2014, the mid-quarter convention applies if more than 25% of all depreciable personal property is placed in service during the last quarter of the taxable year. Question 4 options: True False Save Question 5 (8 points) Personal property depreciated using the mid-quarter convention is sold in June 2014. The percentage from the mid-quarter table is multiplied by 5.5/12 when computing MACRS in 2014. Question 5 options: True False Save Question 6 (8 points) A taxpayer acquires equipment for $10,000. Which one of the following choices is not an acceptable cost recovery period under either MACRS (regular or alternate) or ADS? Question 6 options: Straight-line for 7 years Straight-line for 10 years 150% declining balance for 7 years 150% declining balance for 10 years 200% declining balance for 7 years Save Question 7 (8 points) What is the maximum depreciation in 2014 for a new automobile used 100% for business that was acquired on July 2, 2014, for $28,000? Assume Section 179 is not elected and that this is the only property placed in service during the year. Question 7 options: $3,160 $28,000 $2,800 $5,600 $11,160 Save Question 8 (8 points) Which of the following items acquired as part of an acquisition of a business is not Section 197 intangible property? Question 8 options: Goodwill Customer lists A copyright Supplier-based intangibles All of the above are Section 197 intangible property Save Question 9 (8 points) The MACRS basis of 5-year property acquired on January 13, 20X1 is $10,000. The property is sold on July 31, 20X2. If the mid-quarter convention applies to personal property acquired in 20X1 and straight-line MACRS is used, depreciation expense for 20X2 is: Question 9 options: $1,250. $1,000. $2,000. $1,083. $1,167. Save Question 10 (8 points) The MACRS basis of 5-year property acquired on January 13, 20X1 is $10,000. The property is sold on July 31, 20X3. If the half-year convention applies to personal property acquired in 20X1 and the regular (accelerated) MACRS method is used, depreciation expense for 20X3 is: Question 10 options: $2,000. $1,920. $1,600. $960. $800. Save Question 11 (8 points) If a security deposit is to be used as a final payment of rent, the taxpayer includes it in income in the year of receipt. Question 11 options: True False Save Question 12 (8 points) A non-real estate activity will not be classified as a passive activity if the taxpayer participates in the activity for more than 500 hours during the year. Question 12 options: True False Save Question 13 (8 points) When an entire interest in a passive activity is disposed of, any suspended losses remaining on that activity are lost forever. Question 13 options: True False Save Question 14 (8 points) The rules for meeting the material participation test for real estate activities are more strict than the rules for meeting the material participation test for other (non-real estate) types of activities. Question 14 options: True False Save Question 15 (8 points) A husband and wife can pool their hours for purposes of meeting the material participation requirement for all activities. Question 15 options: True False Save Question 16 (8 points) Which of the following uses of a dwelling unit does not count as personal use? Question 16 options: The taxpayer's parents use the unit for two weeks and pay a fair rental price. The dwelling is rented to a friend for less than a fair rental price. The taxpayer stays at the dwelling while working full-time to replace the roof. All of the above count as personal use. None of the above count as personal use. Save Question 17 (8 points) Which of the following is not considered in computing the taxpayer's amount at-risk with respect to a particular activity? Question 17 options: Money contributed to the activity Adjusted basis of property contributed to the activity Amounts borrowed where the taxpayer is personally liable Loans where the mortgaged property is used as collateral for the loan All of the above qualify as amounts at-risk Save Question 18 (8 points) Over how many years is new carpeting depreciated if the taxpayer elects to use the alternative depreciation system (ADS)? Question 18 options: 5 years 7 years 9 years 10 years 12 years Save Question 19 (8 points) Which of the following situations do not count as days of personal use by the owner of rental property? Question 19 options: The taxpayer stays at the house for 10 days while making repairs to the property. The taxpayer's sister pays a fair rental price to rent the property for 10 days during the year. The taxpayer donates a week of use to a qualified charitable organization. All of the above count as days of personal use. None of the above count as days of personal use. Save Question 20 (8 points) To qualify for the special deduction for active participation in rental real estate, what percentage of the activity must the taxpayer own throughout the year? Question 20 options: at least 10% more than 10% at least 50% more than 50% at least 80% Save Question 21 (8 points) A loss incurred on the sale of a personal residence is not deductible. Question 21 options: 1) True 2) False Save Question 22 (8 points) The donee's basis in depreciated property (when the FMV at the time of the gift is less than the donor's basis) is FMV at the time of the gift. Question 22 options: 1) True 2) False Save Question 23 (8 points) The basis of shares of stock acquired in a nontaxable stock dividend is the FMV of the shares at the time the dividend was paid. Question 23 options: 1) True 2) False Save Question 24 (8 points) If a taxpayer cannot specifically identify which shares of stock were sold, the average cost of all shares held is used as the adjusted basis of the shares that were sold. Question 24 options: 1) True 2) False Save Question 25 (8 points) A taxpayer who receives additional shares of stock as part of a taxable stock dividend must prorate the adjusted basis of the old stock to the total shares of old and new stock held. Question 25 options: 1) True 2) False Save Question 26 (8 points) Benito died on May 23, 2014, bequeathing his entire $3,000,000 estate to his brother, Alfonso. The executor of Benito's estate validly elected to use the alternative valuation date. Benito's estate included 4,000 shares of listed stock, for which Benito's basis was $500,000. The stock was distributed to Alfonso eight months after Benito's death. The fair market values of this stock on various dates follow: May 23, 2014 $600,000 November 23, 2014 550,000 January 23, 2015 530,000 Alfonso's basis in the stock is:Question 26 options: 1) $500,000. 2) $530,000. 3) $550,000. 4) $600,000. 5) None of the above. Save Question 27 (8 points) Teresa, a self-employed consultant, traded in her old computer for a newer model. In addition to trading in her old computer, Teresa paid $7,000 for the newer model. Other relevant information about the trade-in is shown below: Cost of original computer traded in $ 8,000 Adjusted basis of original computer at date of trade-in 1,000 List price (FMV) of new computer 10,000 Trade-in allowance (FMV) for old computer 3,000 Teresa's basis in the new computer is:Question 27 options: 1) $1,000. 2) $7,000. 3) $8,000. 4) $10,000. 5) none of the above. Save Question 28 (8 points) A warehouse was damaged in a storm. The warehouse was worth $225,000 before the casualty and $65,000 after the casualty. The taxpayer's adjusted basis in the warehouse was $77,000. The insurance company reimbursed the taxpayer $150,000 for its loss. To avoid paying tax on the realized gain, how much must the taxpayer reinvest and in what type of property? Question 28 options: 1) $77,000 in another warehouse 2) $150,000 in any other business or investment realty 3) $77,000 in any other business or investment realty 4) $160,00 in another warehouse 5) None of the above. Save Question 29 (8 points) Years ago, Fran purchased stock in ABC company for $33,000. Last year, Fran sold the stock to her son, Steve, for $25,000 (its current market value). Steve later sells the shares for $20,000. Steve's adjusted basis in the stock and his recognized gain or loss on the sale are: Question 29 options: 1) $33,000adjusted basis, $13,000 recognized loss 2) $33,000adjusted basis, $5,000 recognized loss 3) $25,000adjusted basis, $13,000 recognized loss 4) $25,000adjusted basis, $5,000 recognized loss 5) $33,000adjusted basis, $0 recognized gain Save Question 30 (8 points) No taxable income results from a stock split. Question 30 options: 1) True 2) False Save Question 31 (8 points) Unrecaptured Section 1250 gain is taxed as ordinary income. Question 31 options: True False Save Question 32 (8 points) Section 1231 applies to all business property. Question 32 options: True False Save Question 33 (8 points) The taxpayer's net capital gain is zero if the taxpayer has a net short-term capital gain. Question 33 options: True False Save Question 34 (8 points) Gains on the sale of property to a related party are treated as ordinary gains. Question 34 options: True False Save Question 35 (8 points) When several personal casualties occur during the year, the taxpayer computes a net gain or loss for each casualty. Question 35 options: True False Save Question 36 (8 points) An individual purchases a capital asset on May 15, 2014. What is the earliest date that it can be disposed of in order to qualify for long-term treatment? Question 36 options: November 16, 2014 November 17, 2014 May 15, 2015 May 16, 2015 None of the above Save Question 37 (8 points) If certain conditions are met, which of the following properties could be subject to Section 1245 depreciation recapture? Question 37 options: Land Delivery truck Apartment building Inventory None of the above would ever be subject to Section 1245 depreciation recapture Save Question 38 (8 points) An unmarried taxpayer sells the following capital assets during the year. Property Date Acquired Date Sold Sales Price Adjusted Basis 1 6/4/13 4/6/14 $10,000 $14,000 2 1/8/12 12/15/14 15,000 17,000 The taxpayer carries over to the next tax year:Question 38 options: a $4,000 short-term capital loss. a $1,000 short-term capital loss and a $2,000 long-term capital loss. a $3,000 short-term capital loss. a $2,000 short-term capital loss and a $1,000 long-term capital loss. a $3,000 long-term capital loss. Save Question 39 (8 points) In 2014, Rick had a $12,000 gain on the sale of stock purchased three years ago, a $7,000 loss on the sale of a personal use automobile, and a $3,000 loss from the sale of land used in his business (owned for six years). These are Rick's only property transactions during the year. Once the netting process is complete, on his tax return Rick's gains and losses will be treated as: Question 39 options: a $3,000 ordinary loss and a $9,000 net long-term capital loss. a $2,000 net capital gain. a $3,000 ordinary loss and a $12,000 net capital gain. a $9,000 net capital gain. none of the above. Save Question 40 (8 points) The lookback period for purposes of computing nonrecaptured Section 1231 losses is: Question 40 options: 7 years. 3 years. 10 years. 5 years. indefinite. Save Question 41 (8 points) It is possible that the work opportunity tax credit (WOTC) for hiring a qualified long-term family assistance recipient could span over three of the employers tax years. Question 41 options: True False Save Question 42 (8 points) When general business credits from more than one year are carried over, in each carryover year, the most recent credits are used first. Question 42 options: True False Save Question 43 (8 points) Starting in 2014, the credit for small employer health insurance premiums is only available for two years. Question 43 options: True False Save Question 44 (8 points) In order to avoid recapture of the rehabilitation credit, the taxpayer cannot dispose of the property within five years of taking the credit. Question 44 options: True False Save Question 45 (8 points) If an eligible employee's first-year wages span over two of the employer's tax years, the employer can take the work opportunity tax credit (WOTC) over two tax years. Question 45 options: True False Save Question 46 (8 points) Which of the following statements regarding the disabled access credit is not correct? Question 46 options: The maximum disabled access credit is $5,000. The credit is equal to 50% of the eligible expenditures. The depreciable basis of any improvement must be reduced by the amount of the credit claimed. Only expenditures greater than $10,000 are eligible for the credit. None of the above. Save Question 47 (8 points) On January 1, 2013, an employer hires a long-term family assistance recipient to work full-time. The workers wages are $12,000 for both 2013 and 2014. The employers work opportunity tax credit (WOTC) with respect to this worker is: Question 47 options: $5,000 in both years. $4,000 in both years. $4,000 in 2013 and $5,000 in 2014. $4,800 in 2013 and $6,000 in 2014. None of the above. Save Question 48 (8 points) A married couple with alternative minimum taxable income (AMTI) of $332,100 is allowed an AMT exemption in 2014 equal to: Question 48 options: $0. $19,600. $38,200. $43,900. $82,100. Save Question 49 (8 points) The taxpayer's adjusted basis in a certified historic structure is $100,000. During the year, the taxpayer spends $120,000 to rehabilitate the building. The taxpayer's adjusted basis in the building after taking into consideration the improvements and the rehabilitation credit is: Question 49 options: $220,000. $196,000. $208,000. $176,000. None of the above. Save Question 50 (8 points) In 2013, an employer hires an unemployed veteran with a service-related disability (wounded warrior). Prior to the hire date, the veteran had been out of work for 9 months. The worker's first-year wages are $27,000, of which $10,000 was paid in 2013. The employer's work opportunity tax credit (WOTC) with respect to this worker is: Question 50 options: $4,000 in 2013 and $0 in 2014. $4,000 in 2013 and $800 in 2014. $4,000 in 2013 and $5,600 in 2014. $9,600 in 2013 and $0 in 2014. None of the above.

Explanation / Answer

The given statement is true.

The asset must be used for business over 50% of the time to be eligible for the Section 179 deduction. If the business usage of the assets falls to 50% or less later on, then the deduction must be recaptured under section 179. The listed property is an exception to this condition. The business usage of more than 50% is not a requirement for claiming bonus depreciation. Therefore, the better choice for an asset that is currently used more than 50% for business (other than listed property) is bonus depreciation, if there is a chance that the business usage may fall to 50% or less later on.

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