Engineering Economy 7th Edition by Leland Blank ,Anthony Tarquin

Exercise 15

A machine with a 5-year life has a first cost of $20,000 and a $2000 salvage value. Its annual operating cost is $8000 per year. According to the classical straight line method, the depreciation charge in year 2 is nearest to:
A) $2800
B) $3600
C) $4500
D) $5300