1. A company purchased a truck on March 1, 2019 at a cost of $100,000. The truck had an estimated useful life of 8 years and an estimated salvage value of $10,000. The company uses the double-declining balance method of depreciation.

In the space below, state the book value of the truck on December 31, 2020.

4 . A company owns equipment which originally cost $300,000. The estimated salvage value is $50,000 and it was anticipated that the equipment would operate for 100,000 total hours over its useful life. The equipment's Accumulated Depreciation amounted to $108,000 after adjustment on December 31, 2018, based on the units-of-production method of depreciation.

On June 1, 2019, the company sells the equipment for $160,000 cash. Between January 1 and June 1, 2019 the equipment operated for 2,500 hours.

Assume the company makes adjusting entries once per year on December 31st.