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 $6,600. Using the straight-line method, depreciation for 2022 and the equipment's book value at December 31, 2022, would be:

Multiple Choice:

A) $31,200 and $46,800 respectively.

B) $14,280 and $42,840 respectively.

C) $15,600 and $62,400 respectively.

D) $14,280 and $49,440 respectively.