Machinery Was Purchased for $170,000 on January 1, 2013

Multiple Choice

Machinery was purchased for $170,000 on January 1, 2013. Freight charges amounted to $7,000 and there was a cost of $20,000 for building a foundation and installing the machinery. It is estimated that the machinery will have a $30,000 salvage value at the end of its 5-year useful life. What is the amount of accumulated depreciation at December 31, 2014, if the straight-line method of depreciation is used?

A) $66,800.
B) $33,400.
C) $28,600.
D) $57,200.