Asset Retirement Obligation

Date of Estimate	Original Undiscounted Net Cash Outflow Estimate	Years from Estimate Date to Estimated Expenditure Date
7/1/2015	$150,000	5
9/30/2016	$85,000	3
7/1/2017	$115,000	8

Year	Credit Adjusted Risk-Free Rate
2015	8%
2016	5%
2017	7%

Date of Original Estimate	Date of Revision	Type of Revision	Revision Amount	Revised Years from Revision Date to Expenditure Date
7/1/2015	9/30/2017	Timing of & Change in CF	($12,000)	2
9/30/2016	9/30/2017	Change in CF	$55,000	No Change

Required: Determine 2017 accretion expense assuming that all entries in 2012 and 2013 were made correctly. Additionally, assume there were no revisions in 2015 and 2016. Either do not round until your final answer or round all intermediate numbers to whole numbers. Either way should get you the same answer, but something in between may not. Your answer has to match mine exactly or you will not receive credit.