$6-$

Thaxton, Inc., purchased a truck to use for deliveries and is attempting to determine how much depreciation expense would be recognized under three different methods. The truck cost $$20,000$ and is expected to have a value of $$4,000$ at the end of its $5-$year life. The truck is expected to be used at the rate of $10,000$ miles in the first year, $20,000$ miles in the second and third years, and $15,000$ miles in each of the fourth and fifth years.

Required:

a$.$ Determine the amount of depreciation expense that Thaxton should expect to recognize under each of the following depreciation methods in the first and second years of the truck's useful life. A full year's depreciation will be recognized in the first year the truck is used.

Straight$-$line.

Double$-$declining$-$balance.

Units$-$of$-$output $($based on miles$).$