Mohr Company Purchases a Machine at the Beginning of the Year

Multiple Choice

Mohr Company purchases a machine at the beginning of the year at a cost of $24,000. The machine is depreciated using the straight-line method. The machine's useful life is estimated to be 5 years with a $4,000 salvage value.
-The book value of the machine at the end of year 2 is:

A) $12,000.
B) $16,000.
C) $20,000.
D) $4,000.
E) $8,000.