A company acquired an equipment on April, 1, 20X1, for an amount of 400.000. The initial estimated useful life was 8 years with a residual value of 20.000. At the beginning of year 20X5, management review its estimates, shortening the total useful life to 6 years and reducing the scrap value to 18.250. The company applies the straight-line method of depreciation.

What would be the depreciation expense in 20X5?

Select one:

a. 47,500

b. 106,875

c. I dont know

d. 48,450

e. 90,500