Wong Purchased a Computer for $15 000, Net of GST

Multiple Choice

Wong purchased a computer for $15 000, net of GST. Originally it had an estimated useful life of 4 years and a residual value of $3000. The straight-line method is used. At the start of the third year of usage Wong revised the life of the computer to a total life of 6 years. The residual value had not changed. What depreciation expense should be recorded for the computer for year 3?

A) $1000
B) $1500
C) $3000
D) $4000