An automotive company purchased a machine that cost $1,000,000. It has an estimated useful life of 5,000,000 product units and a trade-in value of $500 at the end of its useful life. During the first year, the machine produced 200,000 units. Use the product units method to find the depreciation amount for the first year.

a. $39,811

b. $39,875

c. $39,980

d. $40,250