Mather Company Purchased Equipment on January 1, 2010 at a Total

Multiple Choice

Mather Company purchased equipment on January 1, 2010 at a total invoice cost of $224,000; additional costs of $4,000 for freight and $20,000 for installation were incurred.The equipment has an estimated residual value of $8,000 and an estimated useful life of five years.The amount of accumulated depreciation at December 31, 2011 if the straight-line method of depreciation is used is:

A) $86,400.
B) $88,000.
C) $96,000.
D) $99,200.