On Jan 2, 2010, Sivan Corporation Acquires a Truck for $500,000

Multiple Choice

On Jan. 2, 2010, Sivan Corporation acquires a truck for $500,000. Cash of $400,000 is paid and a note payable for the remaining $100,000 was signed at acquisition. The truck is depreciated over a 10 year period at $50,000 per year. What is the accumulated depreciation at January 1, 2012?

A) $ 50,000
B) $100,000
C) $150,000
D) $400,000
E) $500,000