Samson Manufacturing Company, a calendar year company, purchased a machine for $65,000 on January 1, 2015. At the date of purchase, Samson incurred the following additional costs:
Loss on sale of old machinery........................................$1,000
Freight-in....................................................................500
Installation cost..........................................................2,000
Testing costs prior to regular operation.................................300
The machine's estimated salvage value was $5,000, and Samson estimated it would have a useful life of 20 years with depreciation being computed on the straight-line method. In January 2017, accessories costing $3,600 were added to the machine to reduce its operating costs. These accessories neither prolonged the machine's life nor provided any additional salvage value.
Required:
What should Samson record as depreciation expense for 2017?