On January 1, 2013, Chicago Furniture Purchased a New Delivery

On January 1, 2013, Chicago Furniture purchased a new delivery truck. The company paid $60,000 for the truck, $12,000 for an annual insurance policy and $1,300 for a motor vehicle license. The truck has an estimated residual value of $5,000 at the end of its 4 year useful life and Chicago Furniture uses the double-declining-balance method for other similar assets. At what net amount will Chicago Furniture record the truck on its statement of financial position at December 31, 2013?

A) $60,000
B) $30,000
C) $27,500
D) $36,650