Please do not copy from Chegg. Only attempt if you are sure about the answer. Solve in a step by step manner, explaining each step.

Clayton, Inc. purchased a van on January 1, 2016, for $820,000. The estimated life of the van was five years, and its estimated residual value was $91,000. Clayton uses the straight? line method of depreciation. At the beginning of2018, the company revised the total estimated life of the asset from five years to four years. The estimated residual value remained the same as estimated earlier.

Calculate the depreciation expense for 2018.