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A company buys an oil rig for $1,000,000 on January 1, 2020. The life of the rig is 10 years and the expected cost to dismantle the rig at the end of 10 years is $200,000 (present value at 10% is $77.110). The appropriate interest rate for the company is 10%. What expenses should be recorded for 2020 as a result of these events? OA. Depreciation expense of $107.711 and interest expense of $7.711 Activate Windows OB. Depreciation expense of $120.000 and interest expense of $7,711 Oc Depreciation expense of $120,000 OD Depreciation expense of $100.000 and interest expense of $20,000