A truck with an estimated life of four years was acquired on June 30, Year 1, for

$13,000. The estimated residual value of the truck is $1,000, and the service life is

estimated at 100,000 miles. Compute depreciation for Year 1 using the following methods (where appropriate, round depreciation to the nearest month).

Refer to the above data.

Question:

What is the Output(Depreciation expense) miles driven: Year 1, 10,000 ?

Select one:

a.

$1,000

b.

$1,300

c.

$1,150

d.

$1,200