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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:

  1. Compute depreciation expense for 2019 and 2020 using the following methods: (Round your answers to the nearest dollar.)
    1. Straight-line method
      2019 $ fill in the blank 1
      2020 $ fill in the blank 2
    2. Sum-of-the-years'-digits method
      2019 $ fill in the blank 3
      2020 $ fill in the blank 4
    3. Double-declining-balance method
      2019 $ fill in the blank 5
      2020 $ fill in the blank 6
    4. Activity method
      2019 $ fill in the blank 7
      2020 $ fill in the blank 8
  2. 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.)
    1. Straight-line method
      2019 $ fill in the blank 9
      2020 $ fill in the blank 10
    2. Sum-of-the-years'-digits method
      2019 $ fill in the blank 11
      2020 $ fill in the blank 12
    3. Double-declining-balance method
      2019 $ fill in the blank 13
      2020 $ fill in the blank 14
    4. Activity method
      2019 $ fill in the blank 15
      2020 $ fill in the blank 16

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