Question
Big City Pizza bought a used Ford delivery van on January 2, 2018, for $18,000. The van was expected to remain in service for four
Big City Pizza bought a used Ford delivery van on January 2, 2018, for $18,000. The van was expected to remain in service for four years (41,750 miles). At the end of its useful life, Big City management estimated that the vans residual value would be $1,300. The van traveled 13,000 miles the first year, 11,250 miles the second year, 10,250 miles the third year, and 7,250 miles in the fourth year.
Requirement 1. For double-declining balance methods, round to the nearest two decimal places after each step of the calculation. For years with $0 depreciation, make sure to enter 0 in the appropriate column.
Can somebody help with the Double-Declining-Balance its the third column.
Requirement 1. Prepare a schedule of depreciation expense per year for the van under the three depre For years with S0 depreciation, make sure to enter "O" in the appropriate column.) Units-of- Double-Declining- Year 2018 2019 2020 2021 Total Straight-Line Production Balance 4,175 $ 4,175 4,175 4.175 16 700 5,200 4,500 4,100 2,900 700 8350 4175 2088 787Step by Step Solution
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