Choose the correct option

Cuso Company purchased equipment on January 1, 2013, at a cost of $40,000. The equipment has an estimated residual value of $10,000 and an estimated useful life of 5 years. If the straight-line method of depreciation is used, what is the amount of accumulated depreciation at December 31, 2014? NOTE: this is the end of the 2nd year of the asset's life Select one: a. $24,000 b. $18,000 c. $6,000 d. $12,000 7:39