Mohr Company purchases a machine at the beginning of the year at a cost of $43,000. The machine is depreciated using the straight-line method. The machines useful life is estimated to be 5 years with a $7,000 salvage value. The book value of the machine at the end of year 2 is:

Multiple Choice

• $21,600.

• $28,600.

• $36,000.

• $14,400.

• $7,200.