On January 1, 20X6, Mega Corp. leased dental equipment to Smile Dentistry Corp. Pertinent details follow:

• The lease term is five years.
• The economic life of the dental equipment is seven years. The residual value at that time is $0.
• Mega offers its customers the choice of leasing the equipment or purchasing it for $90,000 cash.
• Smile Dentistry is required to make annual payments of$21,159 including non-lease costs of $2,000, with thefirst payment due one year after the inception of the lease(January 1, 20X7).
• Smile Dentistry has the option to purchase the equipment at the end of the lease term for $9,000.
• The implicit rate in the lease, which is not known by Smile Dentistry, is 5%.
• Smile Dentistry's incremental borrowing rate for transactions of this nature is 4%.
• Smile Dentistry has determined that the option to purchase represents a bargain purchase option (BPO).

Assuming that Smile Dentistry depreciates its dental equipment on a straight-line basis, anddoes not elect to account for the lease and non-lease components in the contract as a single lease component, how much depreciation expense will be recognized in its financial statements for the year ended December 31, 20X6?