On April 2, Year 1, Victor, Incorporated acquired a new piece of filtering equipment. The cost of the equipment was $220,000 with a residual value of $20,000 at the end of its estimated useful lifetime of 10 years. Victor uses a calendar year-end for financial reporting. Assume that in its financial statements, Victor uses straight-line depreciation and the half-year convention. Depreciation recognized on this equipment in Year 1 and Year 2 will be: Multiple Choice $10,000 in Year 1 and $20,000 in Year 2. $20,000 in Year 1 and $20,000 in Year 2. $22,000 in Year 1 and $19,800 in Year 2. $15,000 in Year 1 and $19,800 in Year 2.