Equipment Purchased at the Beginning of the Year for $200,000

Multiple Choice

Equipment purchased at the beginning of the year for $200,000 with a residual value of $20,000 is being depreciated over a 5-year period using the double-declining-balance method. Which of the following statements is correct concerning the financial statements at the end of the year?

A) The equipment account now has a balance of $120,000.
B) The book value of the equipment is now $80,000.
C) The accumulated depreciation account balance is now $80,000.
D) Depreciation expense for the year is $72,000.