I need the formula of depreciation expense and how to figure it out?

10.17 / 12 III Question 7 of 8 View Policies Show Attempt History Current Attempt in Progress On July 1, 2020, Molly's Greenhouse purchased a new delivery truck for $88,000. She paid a $20,000 cash and signed a promissory note for the remainder. Molly estimates that the delivery truck will have a five-year useful life, or 200,000 kilometres and a residual value of $8,000. Molly's Greenhouse has a December 31 year end. Calculate the gain or loss on disposal for the following three independent situations: (a1) Your answer is correct. Molly sold the truck for $35,650 on January 1, 2024. By using straight-line method the carrying amount is $32,000. 3650 Gain on disposal Molly sold the truck for $22,400 on July 1, 2024. Using straight line method, prepare the journal entries for the above situation. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter Ofor the amounts.) Date Account Titles and Explanation Debit Credit July 1, 2024 Depreciation Expense Accumulated Depreciation - Vehicles (To record depreciation expense on vehicle) July 1, 2024 Cash 22400 Accumulated Depreciation - Vehicles 64000 Loss on Disposal 1600 Vehicles 88000 (To record sale of vehicle) 10.17 / 12 III Question 7 of 8 View Policies Show Attempt History Current Attempt in Progress On July 1, 2020, Molly's Greenhouse purchased a new delivery truck for $88,000. She paid a $20,000 cash and signed a promissory note for the remainder. Molly estimates that the delivery truck will have a five-year useful life, or 200,000 kilometres and a residual value of $8,000. Molly's Greenhouse has a December 31 year end. Calculate the gain or loss on disposal for the following three independent situations: (a1) Your answer is correct. Molly sold the truck for $35,650 on January 1, 2024. By using straight-line method the carrying amount is $32,000. 3650 Gain on disposal Molly sold the truck for $22,400 on July 1, 2024. Using straight line method, prepare the journal entries for the above situation. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter Ofor the amounts.) Date Account Titles and Explanation Debit Credit July 1, 2024 Depreciation Expense Accumulated Depreciation - Vehicles (To record depreciation expense on vehicle) July 1, 2024 Cash 22400 Accumulated Depreciation - Vehicles 64000 Loss on Disposal 1600 Vehicles 88000 (To record sale of vehicle)