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Allure Company purchased a new car for use in its business on January 1 , 2 0 2 0 . It paid $ 2 6
Allure Company purchased a new car for use in its business on January It paid $ for the car. Allure expects the car to have a useful life of four years with an estimated residual value of zero. Allure expects to drive the car miles during miles during miles in and miles in for total expected miles of
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tableDoubledecliningbalance method,YeartableAnnualDepreciationExpensetableAccumulatedDepreciationBook ValueStart
Requirements
Using the doubledecliningbalance method of depreciation, calculate the following amounts for the car for each of the four years of its expected life:
a Depreciation expense
b Accumulated depreciation balance
c Book value
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