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Depreciation for Partial Periods Chambers Delivery Company purchased a new delivery truck for $45,000 on April 1, 2019. The truck is expected to have a
Depreciation for Partial Periods
Chambers Delivery Company purchased a new delivery truck for $45,000 on April 1, 2019. The truck is expected to have a service life of 5 years or 120,000 miles and a residual value of $3,000. The truck was driven 10,000 miles in 2019 and 18,000 miles in 2020. Chambers computes depreciation expense to the nearest whole month.
Required:
- Compute depreciation expense for 2019 and 2020 using the following methods: (Round your answers to the nearest dollar.)
- Straight-line method
2019 $ fill in the blank 1 2020 $ fill in the blank 2 - Sum-of-the-years'-digits method
2019 $ fill in the blank 3 2020 $ fill in the blank 4 - Double-declining-balance method
2019 $ fill in the blank 5 2020 $ fill in the blank 6 - Activity method
2019 $ fill in the blank 7 2020 $ fill in the blank 8
- Straight-line method
- For each method, what is the book value of the machine at the end of 2019? At the end of 2020? (Round your answers to the nearest dollar.)
- Straight-line method
2019 $ fill in the blank 9 2020 $ fill in the blank 10 - Sum-of-the-years'-digits method
2019 $ fill in the blank 11 2020 $ fill in the blank 12 - Double-declining-balance method
2019 $ fill in the blank 13 2020 $ fill in the blank 14 - Activity method
2019 $ fill in the blank 15 2020 $ fill in the blank 16
- Straight-line method
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