1. In your Workbook, for each of the following situations, allocate the total cost to the proper fiscal periods. Assume that the company commenced business on January 1, 20-1, and has a fiscal year-end of December 31. A. A truck was purchased on January 1, 20-1, for $18 000. It was expected to last for five full years, at the end of which it would have a trade-in value of $3000. Use the straight-line method of depreciation. 20-1 20-2 20-3 20-4 20-5 B. A used vehicle was bought on November 1, 20-1, for $5800. It was expected to last for four full years, at the end of which it would have a resale value of $1000. Use the straight-line method of depreciation. 20-1 20-2 20-3 20-4 20-5 C. A building was purchased on May 1, 20-2, for the sum of $791 000. It was expected to last for 25 years, at which time it would have a resale value of $35 000. Use the straight-line method of depreciation. Chapter 8 20-1 20-2 20-3 20-4 20-5 D. A new machine was bought on January 1, 20-1, for $54 000. It is depreciated using the declining-balance method at the rate of 20%. 20-1 20-2 20-3 20-4 20-5 E. A new building was bought on July 1, 20-1, for $846 000. It is depreciated using the declining-balance method at the rate of 4%. Ignore the 50% rule. 20-1 20-2 20-3 20-4 20-5 F. Repeat Part E above. This time, assume the 50% rule is in effect. 20-1 20-2 20-3 20-4 20-5