Cutter Enterprises purchased equipment for $66,000 on January 1, 2018. The equipment is expected to have a five-year life and a residual value of $8,700. Using the straight-line method, depreciation for 2019 and the equipment's book value at December 31, 2019, would be:

Multiple Choice

• $11,460 and $34,380 respectively.

• $11,460 and $43,080 respectively.

• $13,200 and $52,800 respectively.

• $26,400 and $39,600 respectively.