Carla Vista Company bought machinery on January 1, 2009, at a cost of $88,000. The machinery had an estimated life of 8 years and salvage value of $15,360. On January1, 2014, Carla Vista estimates that the machinery will have a life of only 2 more years from January 1, 2014, and the salvage value is now estimated to be $3,840. Carla Vista uses straight-line depreciation. Compute the annual depreciation expense for 2014.

Annual depreciation expense for 2014 is