JME acquired a depreciable asset on January 1, Year1, for $60,000 cash. At that time JME estimated the asset would last 10 years and have no salvage value.

During Year3, JME estimated the remaining life of the asset to be only three more years (Year3, Year4, and Year5). JME also estimated a new residual value of $3,000.

If JME uses straight-line depreciation, what is the depreciation expense for Year3?

	a.	6,000
	b.	12,000
	c.	15,000
	d.	16,000
	e.	19,000