Question: During the current tax year, Jim purchased a warehouse for exclusive use in his manufacturing business. The cost of the property was $620,000, of which $100,000 was attributable to the land. Which of the following statements identify the proper treatment of the expenditure? A portion of the cost attributable to the building may be deducted under Section 179. The $100,000 attributable to the land must be capitalized and may not be depreciated. The $520,000 attributable to the building must be capitalized and depreciated. The entire $620,000 must be capitalized and depreciated. A) IV only B) I and II C) II only D) II and III