Kirkwood Community College Straight Line depreciation Method Discussion MobileT inc. purchased equipment for $100,000 on January 1, Year 1. The equipment h

Kirkwood Community College Straight Line depreciation Method Discussion MobileT inc. purchased equipment for $100,000 on January 1, Year 1. The equipment had an estimated 10-year useful life and a $20,000 salvage value. McCarron uses the straight-line depreciation method. In its Year 2 income statement, what amount should McCarron report as depreciation expense for the equipment?

A) $2,000

B) $8,000

C) $10,000

D) $12,000

*Please discuss the reason for your answer and some evidence to support your theory.

*List references if used