Talarico's Subs Purchased a New Van for $26,000, Its Estimated

Multiple Choice

Talarico's Subs purchased a new van for $26,000, its estimated useful life at 80,000 miles, residual value of $20,000. The van was driven 12,000 miles in year 1. What is the depreciation expense in year 1? (Round any intermediate calculations to two decimal places, and your final answer to the nearest dollar.)

A) $960
B) $20,000
C) $3,900
D) $1,500