Martin Company purchases a machine at the beginning of the year at a cost of $135,000. The machine is depreciated using the double-declining-balance method. The machines useful life is estimated to be 4 years with a $11,250 salvage value. The machines book value at the end of year 3 is:

• $101,250.

• $15,469.

• $67,500.

• $16,875.

• $118,125.