The answer is C but I don't know how we get to that answer.

1. Alpha Company purchased an asset for $150,000 which was to be depreciated on a declining basis at a rate of 20%, on January 1 , Year 1 . The asset was estimated to have a residual value of $65,000 at the end of its 5-year useful life. What is the amount of depreciation to be taken on this asset during Year 4 ? a) $15,360. b) $8,704 c) $11,800. d) $17,000