Nicki. M., an individual, has started up a charter yacht service (called Starships) and a marina in 2022 in Newport Beach, California, in the same city where Nicki resides. Nicki qualifies to use the cash basis for the charter business.Certain expenses and capital expenditures relating to 2019 are listed below. The charter business uses the yachts exclusively at the business establishment, and the yachts are used only in connection with Nicki's charter business, Nicki's principal trade. (thus the yachts are not subject to the listed property limitations, also these yachts are the only depreciable personalty put into service in 2019).