12.

The annual depreciation taken on a vehicle totals $3,700. The vehicle has been in service for two full years and the adjusting entries have been completed for the year. At the end of the second year, the balance in the Depreciation Expense account is $______ and the balance in the Accumulated Depreciation account is $______.

A) $3,700; $3,700

B) $3,700; $7,400

C) $7,400; $3,700

D) $7,400; $7,400