Kate Company purchased a tractor at a cost of $120,000. The tractor has an estimated salvage value of $20,000 and an estimated life of 8 years, or 12,000 hours of operation. The tractor was purchased on January 1, 2016 and was used 2,400 hours in 2016 and 2,100 hours in 2017. What method of depreciation will produce the maximum depreciation expense in 2017? Select one: O a. Straight-line O b. Units-of-production O c. Double-declining-balance O d. All methods produce the same expense in 2017
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