An earthmoving machine had a list price of $12,000 but was on sale at a 10% discount. Delivery costs were $200. The acquiring business paid $50 for insurance during delivery and a further $500 for annual insurance was payable to the insuance company each year. The machine has a physical life of 6 years and a useful life of 4 years. Estimated residual value after 6 years is zero and after 4 years is $1,200. The annual depreciation charge using the straight-line method is approximately: A) $1,863. B) $1,975. C) $2,163. D) $1,842.

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