24. A company purchases an oil well for $200,000. It estimates that the well contains 250,000 barrels, has a ten-year life, and has no salvage value. If the company extracts and sells 20,000 barrels during the first year, how much depletion expense should be recorded?

A. $40,000

B. $16,000

C. $20,000

D. $100,000