Contract number AB3 commenced on 1 April and plant with a book value of $300,000 was delivered to the site from central stores. On 1 September further plant was delivered with a book value of $24,000.

Company policy is to depreciate plant at a rate of 20% of the book value each year.

The book value of the plant on site as at 31 December is:

A $200,000 B $250,000 C $257,400 D $277,400