Cutter Enterprises purchased equipment for $72,000 on January 1, 2018. The equipment is expected to have a five-year life and a residual value of $6,000. Using the double-declining balance method, depreciation for 2018 and the book value at December 31, 2018, would be: A) $26,400 and $45,600 respectively. B) $28,800 and $43,200 respectively. C) $28,800 and $37,200 respectively. D) $26,400 and $36,600 respectively.
