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Calculate depreciation expense for the first two years using the straight-line, units-of-service, and double-declining balance methods Lance's Truck Stop purchased a new automatic truck washing
Calculate depreciation expense for the first two years using the straight-line, units-of-service, and double-declining balance methods
Lance's Truck Stop purchased a new automatic truck washing machine for $135,000 at the first of last year.Lance estimates that the machine will last for 10 years at which time it can be sold for $35,000.Lance also estimated that a total of 50,000 trucks would use the machine before it was salvaged.During the first year 7,000 trucks were washed and the current year another 9,000 were washed.
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