Calculate depreciation expense: straight-line and activity methods. (LO 2) Best-Goods Company purchased a delivery truck for \(\$ 35,000\) on January 1, 2006. The truck had an estimated useful life of 7 years or 210,000 miles. Best-Goods estimated the truck's salvage value to be \(\$ 5,000\). The truck was driven 21,000 miles in 2006 and 31,500 miles in 2007.

a. Compute the depreciation expense for 2006 and 2007, first using the straight-line method, then the activity method.

b. Which method portrays more accurately the actual use of this asset? Explain your answer.