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  3. midnight, inc. incurred the following costs relate

Midnight, Inc. incurred the following costs related to equipment purchased on January 1,2022: ...

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Accounting

Midnight, Inc. incurred the following costs related to equipment purchased on January 1,2022:
Purchased equipment for $80,000, terms 2/10, net 30. Paid for the equipment on January 5,2022.
Had the equipment installed and paid the installer $5,000.
Paid the freight bill for the truck that delivered the equipment for $800.
Advertised a new product that will be produced by the new equipment, $1,900.
Sales taxes paid on the equipment amounted to $6,000.
During installation, a part was broken off and had to be replaced for $2,700.
Midnight believes the machine will be useful for 5 years, at which time it will be sold for $5,000.
Assuming Midnight, Inc. uses the straight-line method of depreciation, what will depreciation expense on its 2023 income statement be?
Select one:
a. $35,330
b. $17,580
c. $19,170
d. $34,720
e. $17,040

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