Alpha Ltd. purchased an item of machinery for $40,000 with an expected residual value of $8,000. The machinery is expected to have a useful life of eight years. It is estimated that the machine has a capacity of 100,000 production hours. The entity used the machine for 25,000 hours in year one. It is estimated that the machine will produce a total of 30,000 units. There are 6,000 units produced in year one. Alpha Ltd. considers that production hours best reflects the pattern in which the machine's future economic benefits are expected to be consumed. Given these assumptions, what depreciation expense should be recognized in year 1? Select the best response, and then click Submit. $4,000:($40,000$8,000)/8$6,400:($40,000$8,000)6,000/30,000$8,000:($40,000$8,000)25,000/100,000$10,000:($40,00025,000)/100,000