Units-of-output depreciation OBJ. 2 A tractor acquired at a cost of $420,000 has an estimated residual value of $30,000, has an estimated useful life of 25,000 hours, and was operated 1,850 hours during the year.

Determine

(a) the depreciable cost,

(b) the depreciation rate, and

(c) the units-of-output depreciation for the year.