GDH Industries purchased a Caterpillar Electric Forklift for $9,000 on January 1, 20X1.

The expected useful life of the forklift is 5 years and the expected residual value is $1,000.

Question: Straight-line depreciation expense in year two (for the year ending 12/31/X2) for the forklift should be?

Select one:

a. $1,600

b. $3,200

c. $1,800

d. $2,400

e. $1,400