A truck was purchased on January 2 at a cost of $60,000
A truck was purchased on January 2 at a cost of $60,000. It’s expected to be used for five years and have a residual value of $5,000 after 120,000 miles of service. the truck was driven for 23,000 miles the first year and 25,000 miles the second year. calculate the depreciation expense to the nearest dollar for the first and second years.
METHOD- straight-line Year 1 , Year 2 ,
Double- declining-balance, year 1 , year 2,
Units- of- production, Year 1 and year 2.
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