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A company owned three trucks dedicated primarily for its landfill business. The company's accounting record indicates the following for the first year of truck use
"A company owned three trucks dedicated primarily for its landfill business. The company's accounting record indicates the following for the first year of truck use Truck T Description Purchase Cost (S Salvage Value (S Useful life (kilometers Kilometers driven during the vear 50,000 5,000 200,000 20,000 25,000 2,500 200,000 12,000 18,500 1,850 100,000 15,000 (a) Determine the amount of depreciation for each truck during the year using the Units of Production method (b) Determine the amount of depreciation for truck A during the first and second year of usage with the Declining Balance method (and switching to Straight Line, if necessary), assuming the useful life of six years
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