Spencer Company Purchased a Tractor at a Cost of $360,000

Multiple Choice

Spencer Company purchased a tractor at a cost of $360,000 on January 1, 2019. The tractor has an estimated salvage value of $60,000 and an estimated life of 8 years.
If Spencer uses the straight-line method, what is the book value at January 1, 2023?

A) $210,000
B) $150,000
C) $247,500
D) None of the above