Calculating Units-of-Production Depreciation Swift Trucking Company purchased a long-haul tractor-trailer for $400,000 at the beginning of the year. The expected useful life of the tractor-trailer rig was 8 years or 500,000 miles.

Salvage value was estimated to be $40,000. During the first 5 years of use, the rig logged the following usage in miles:

Year 1	80,000	miles
Year 2	75,000	miles
Year 3	80,000	miles
Year 4	76,000	miles
Year 5	60,000	miles
Total	371,000	miles

Calculate the depreciation expense to be taken on the tractor-trailer for each year using:

(a) Units-of-production method

Round your answer to the nearest whole number.

Year	Depr exp
1	$Answer
2	$Answer
3	$Answer
4	$Answer
5	$Answer
Total	$Answer

(b) Straight-line method

Round your answer to the nearest whole number.

Year	Depr exp
1	$Answer
2	$Answer
3	$Answer
4	$Answer
5	$Answer
Total	$Answer

Which method gives you higher total depreciation charges over the five-year period?

AnswerStraight-line methodUnits-of-production method