Kant Enterprises purchased a truck for $11,000 on January 1, 2013. The truck will have an estimated salvage value of $1,000 at the end of 5 years. If you use the units-of-activity method, the balance in accumulated depreciation at December 31, 2014, can be computed by the following formula:

(a) ($11,000 4 Total estimated activity) 3 Units of activity for 2014.

(b) ($10,000 4 Total estimated activity) 3 Units of activity for 2014.

(c) ($11,000 4 Total estimated activity) 3 Units of activity for 2013 and 2014.

(d) ($10,000 4 Total estimated activity) 3 Units of activity for 2013 and 2014.

AppendixLO1