4.Brandon Ltd purchased a new machine on 1 October 2015 at a cost of $228,000. The entity estimated that the machine has a residual value of $28,000. The machine is expected to be used for 40,000 working hours during its 10-year life. Assume a 31 December year-end.

What is the carrying value of the machine at the end of 2016 if the company uses the diminishing-balance method using a rate that is double the straight-line rate for 2015 and 2016?

a.$216,000.

b.$173,280.

c.$203,000.

d.$54,720.

e.None of the above is correct.