If the company purchased a car by 8000 and 7 the useful life for the car 5 years and the salvage =value will be 1000 so the depreciation expenses () (2 ) 7000 8005 O 1400 9000 if the company paid in advance 8000 to the.8 insurance company to cover health insurance for 4 years so after 4 years the balance of insurance =expenses (2) 200 2000 8000 O