Mays Corporation purchosed a new truck on January 1, Year 1 for $78.000 cash. The salvage value was estimated to be $16,500 at the end of the useful life of 5 years. On January 1, Year 3, Mays had to replace the engine of the truck paying $10,500 cash. At that time, Mays estimates that the truck will continue a productive life for another four years. The company uses the straight-fine method. Required:

 Calculate the depreciation expense for Year 3.