Cutter Enterprises purchased equipment for $78,000 on January 1, 2018. The equipment is expected to have a five-year life and a residual value of $4,200.

Using the sum-of-the-years'-digits method, depreciation for 2018 and book value at December 31, 2018, would be:

A.$26,000 and $52,000 respectively.

B.$24,600 and $53,400 respectively.

C.$24,600 and $49,200 respectively.

D.$26,000 and $47,800 respectively.