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Jing Company was started on January 1, Year 1 when it issued common stock for $30,000 cash. Also, on January 1, Year 1 the company purchased office equipment that cost $15,400 cash. The equipment was delivered under terms FOB shipping point, and transportation cost was $1,500. The equipment had a five-year useful life and a $5,900 expected salvage value.

Using double-declining-balance depreciation, what the amount of depreciation expense and the amount of accumulated depreciation, respectively, that would appear on the December 31, Year 3 financial statements?

$184 and $11,000.

$0 and $14,000.

$3,024 and $17,024.

$5,040 and $13,440.