Cutter Enterprises purchased equipment for $78,000 on January 1, 2021. The equipment is expected to have a five-year life and a residual value of $7,500. Using the double-declining balance method, depreciation for 2021 and the book value at December 31, 2021, would be: Multiple Choice $31,200 and $39,300 respectively. $28,200 and $49,800 respectively. $28,200 and $45,300 respectively. $31,200 and $46,800 respectively