ooga Company purchased a depreciable asset for $80,000 on January 1, 2015. The estimated salvage value is

$20,000, and the estimated useful life is 5 years. The straight

-line method is used for depreciation. On January 1,

2017, the company made a ca

pital expenditure of $16,000 for an addition to the asset. What is depreciation expense

for 2017? (Assume that salvage value remains unchanged)

a.

$25,333

b.

$17,333

c.

$14,400

d.

$24,000