A vehicle bought on 1 January 20X0 cost £16,000. Its useful economic life is estimated at 4 years and its trade-in value at that point is estimated as being £4,000. 

During 20X2 a review of the vehicle’s probable useful economic life suggested that it should be retained until 1 January 20X5 and its residual value should be £2,500.

Required:

What is the amount of straight line depreciation charged in the profit and loss account in the year to 31 December 20X2 and the amount included in the balance sheet for accumulated depreciation at that date?