: A company purchased a truck on January 1, 2018, at a cost of $23,500. The useful life is 5 years with a $3,500 salvage value. The company uses straight-line depreciation. On January 1, 2019, the company paid $2,500 to replace the trucks transmission. This extended the useful life of the truck by 2 years. There is no change in the salvage value. Determine depreciation expense of 2019.