6. Caracos Corp. purchased a computer on January 1 for $108,000. It was estimated to have a 4-year useful life and a salvage value of $18,000. The double-declining- balance method is to be used. The amount of depreciation to be reported at the end of the first year is A. ($108,000-$18,000)(25% x 2) B. ($108,000-$18,000(25% x1/2) C. ($108,000)(25% x 2) D. ($108,000)(25%) 7. On the first day of its current fiscal year, Santiago Corporation purchased equipment costing $400,000 with a salvage value of $80,000. Depreciation expense for the year was $160,000. If Santiago uses the double-declining- balance method of depreciation, what is the estimated useful life of an asset? A. 5 B. 4 C. 2.5 D. 2