A Tractor Costing $180,000 Is Depreciated Using MACRS What Is the Depreciation Expense for Year 3?
A)$27,000
B)$35,560

A tractor costing $180,000 is depreciated using MACRS.The tractor qualifies as a 3-year property,and has a scrap value of $20,000.The depreciation rates are:
$$\begin{array} { | l | l | } \hline \text { Year 1: } & 33.00 \% \\\hline \text { Year 2: } & 45.00 \% \\\hline \text { Year 3: } & 15.00 \% \\\hline \text { Year 4: } & 7.00 \% \\\hline\end{array}$$
What is the depreciation expense for year 3?

A) $27,000
B) $35,560
C) $26,670
D) $23,696