Suppose a Tractor Purchased at a Price of $60,000 Is

Multiple Choice

Suppose a tractor purchased at a price of $60,000 is to be depreciated by the double declining-balance method over a 10-year period. It can be shown that the rate at which the book value will be decreasing is given by dollars/year at year . Find the amount by which the book value of the tractor will depreciate over the first 3 years of its life. Please round the answer to the nearest cent.

A) $43,401.11
B) $29,142.74
C) $40,468.67
D) $42,110.89
E) $32,407.03