Magnotti Floors Purchased a Floor Sander for $3,550

Magnotti Floors purchased a floor sander for $3,550. Delivery costs totaled $225. The salvage value is $755 after 8 years. Using the straight-line depreciation method, calculate the book value at the end of year 5.

A) $1,662.50
B) $1,887.50
C) $2,412.50
D) $935.50