The MACRS basis of 5-year property acquired on January 13, 20X1 is $10,000. The property is sold on July 31, 20X2. If the mid-quarter convention applies to personal property acquired in 20X1 and straight-line MACRS is used, depreciation expense for 20X2 is:

$1,250.

$1,000.

$2,000.

$1,083.

$1,167.