On January 1, 1999. Jackson Company purchased equipment for S400,000, and installation and testing costs totaled S40,000. The equipment has an estimated useful life of 10 years and an estimated salvage value of 540,000. If Jackson uses the straight-line depreciation method, the depreciation expense for 1999 is: lop5

a. 536,000.

b. 540,000.

c. 544.000.

d. $80,000.

e. 588,000.