Depreciation method:

Nevertire Ltd purchase a delivery van costing $52000 net of GST. It is expected to have a residual value of $12000 at end of its useful life of 4 years or 200,000 kilometres.

its required:

A. Assume the van was purchase on 2 july 2015 and that the accounting period ends on 30 June.Calculate the depreciation expense for the year 2015-2016 using each of the following depreciation methods: 1.Straight-line, 2.Diminishing balance,3. Units production (assume the van was driven 78000 kilometers during the financial year).

B.Assume the van was purchase on 1 October 2015 andthat the accounting period ends on 30 June.Calculate the depreciation expense for theyear 2015-2016 using each of the following depreciation methods:1.Straight-line, 2.Diminishing balance,3. Units production (assume the van was driven 60000 kilometers during the financial year).