Company A has a long-lived asset with an asset retirement obligation. At the end of the previous year. The asset retirement obligation had a balance of $18,417. At the beginning of this year, the company has determined that the expected cash flows of retiring the asset have increased by $10,000. The present value factor at 5% (the company's credit-adjusted risk-free rate at the time the asset retirement obligation was originally recorded) is .6137. The present value factor at 6% (the company'c current credit-adjusted risk-free rate) is .5584.

Required:

i) What amount of increase to the asset retirement obligation should Company A record at the beginning of this year?

ii) What amount of interest/accretion expense should Company A record this year?