A company bought a piece of equipment for $42,700 and expects to use it for eight years. The company then plans to sell it for $4,800. The company has already recorded depreciation of $37,000.25. Using the double-declining-balance method, what is the company's annual depreciation expense for the upcoming year? (Round your answer to the nearest whole dollar amount.)

Multiple Choice

• $12,700.

• $900.

• $1,425.

• $9,650.