Mary Company acquired a machine for P320,000 on August 31, 2014. The machine has a five-year life, a P50,000 residual value and was depreciated using the straight-line method. On May 31, 2017, a test for recoverability reveals that the expected net future undiscounted cash inflows related to the continued use and eventual disposal of the machine total P150,000. The machines actual fair value on May 31, 2017 is P135,000 with no residual value. Assuming a loss on impairment is recognized on May 31, 2017, what is the depreciation expense for June 2017?

A. 3,148

B. 4,500

C. 5,000

D. 6,352