The Black Limo Company (BLC) purchased a limo on January 1 of Year 1. The limo cost $48,000 and has an $8,000 salvage value. BLC expected to drive the limo a total of 100,000 miles. Actual miles driven were: Year 1: 30,000 miles; Year 2: 40,000 miles; Year 3: 20,000 miles; Year 4: 25,000 miles. Based on this information, depreciation expense for Year 2 using units-of-production depreciation is Blank______.
Multiple choice question.
$24,000
$10,000
$28,000
$16,000