Pineapple Co. bought new tires for their forklifts for $1,200 ($300 each). Because of heavy use, the tires are only expected to last 10 months. How should the $1,200 cost be accounted for on the...

Pineapple Co. bought new tires for their forklifts for $1,200 ($300 each). Because of heavy use, the tires are only expected to last 10 months. How should the $1,200 cost be accounted for on the financial statements?

Capitalized as an asset

Written off immediately as an expense

Recognized as a prepaid expense

Depreciated at $120 a month