ELO Corporation Purchased a Patent for $180,000 on September 1

Multiple Choice

ELO Corporation purchased a patent for $180,000 on September 1, 2006.It had a useful life of 10 years.On January 1, 2008, ELO spent $44,000 to successfully defend the patent in a lawsuit.ELO feels that as of that date, the remaining useful life is 5 years.What amount should be reported for patent amortization expense for 2008?

A) $41,200.
B) $40,000.
C) $37,600.
D) $31,200.