Can you do the question showing all the steps?

Problem 1: A construction company purchases 200 m of 35 mm diameter steel cable with an initial cost of $4500. The annual interest rate is 4%, and annual maintenance costs are considered to be paid in their entireties at the end of the years in which their costs are incurred. The annual maintenance cost of the cable is $200/year over a service life of 9 years. Using the Modified Accelerated Cost Recovery System (MACRS) depreciation method and assuming a seven-year recovery period, what is the depreciation allowance for the cable in the first year of operation. a.) $640 (this is the correct answer) b.) $670 c.) $720 d.) $860