Gerald Gumbo owns Cajun Chili Corporation. Gerald has asked you to estimate depreciation for the next two years, so he can decide which method to use. The company purchased a new giant chili kettle on January 1, 2018 at a cost of $160,000. The company estimates that the kettle will have a salvage value of $40,000. The chili kettle is expected to produce 10,000 batches of chili during its 4-year estimated useful life, including 2,000 batches in 2018 and 3,000 batches in 2019. What is depreciation expense for 2019 using the units of activity method?