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Barefoot Industrial acquired a new delivery truck at the beginning of its current fiscal year. The truck cost $23,000 and has an estimated useful life
Barefoot Industrial acquired a new delivery truck at the beginning of its current fiscal year. The truck cost $23,000 and has an estimated useful life of four years and an estimated salvage value of $4,300. Required: a-1. Calculate depreciation expense for each year of the truck's life using Straight-line depreciation. Depreciation expense per year a-2. Calculate depreciation expense for each year of the truck's life using Double-declining-balance depreciation. Year Depreciation Expense 1 2 3 4 b. Calculate the truck's net book value at the end of its third year of use under each depreciation method. Depreciation method Straight-line depreciation Double-declining-balance depreciation Net book value
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