An automotive tool that cost $1,000 has an estimated useful life of 1,000 service-hours and a trade-in value of $50 at the end of its useful life. In the first year, the tool was used for 150 hours. Use the service hours method to find the depreciation charges for the first year.

a.

$135.50

b.

$138.50

c.

$140.00

d.

$142.50