A used machine with a purchase price of $37,997, requiring an overhaul costing $8,891, installation costs of $5,157, and special acquisition fees of $33,007, would have a cost basis of

a.$85,052

b.$132,107

c.$46,888

d.$37,997

Equipment with a cost of $141,071 has an estimated residual value of $9,230 and an estimated life of 6 years or 14,146 hours. It is to be depreciated by the straight-line method. What is the amount of depreciation for the first full year, during which the equipment was used 3,226 hours?

a.$6.00

b.$40.87

c.$30,066.38

d.$21,973.50