25 ABC Company on Jan 1, 2021 purchased a delivery van for $24,000. To complete the purchase, the company also incurred a $800 shipping cost and $1,200 sales tax. The company estimates that at the end of its four-year service life, the van will be worth $4,000. During the four-year period, the company expects to drive the van 100,000 miles. Actual miles driven each year were 20,000 miles in year 1; 25,000 miles in year 2; 40,000 miles in year 3; and 55,000 miles in year 4. Required: Using Straight-line depreciation method, what is the annual depreciation expense? $5,500 $5,000 $6,000 $5,300 Using the double-declining-balance method, what are the amounts of depreciation expense for year 2? $6,500 $6,000 $5,500 $5,000 $5,000 11 01:09:11 Using activity-based depreciation method, what is the balance of accumulated depreciation at the end of year 3? $18,700 $8,800 $17,000 $8,000 Suppose that the company decided on December 31, 2022 (Year 2) that the useful life of the van will be 5 years total (instead of 4 years total). Assume that the company uses the straight-line method and the change will become effective in 2023. What will be the amount of depreciation expense in 2023 (year 3)? $3,667 $4,400 $3,333 $4,000