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In recent years, Concord Transportation purchased three used buses. Because of frequent turnover in the accounting department, a different accountant was in charge of selecting

In recent years, Concord Transportation purchased three used buses. Because of frequent turnover in the accounting department, a different accountant was in charge of selecting the depreciation method for each bus, and various methods have been used. Information concerning the buses is summarized in the table below.

Bus

Acquired

Cost

Salvage Value

Useful Life in Years

Depreciation Method

1

Jan. 1, 2020

$ 96,000 $ 6,500 5 Straight-line

2

Jan. 1, 2020

128,000 11,000 4 Declining-balance

3

Jan. 1, 2021

95,100 9,000 5 Units-of-activity

For the declining-balance method, the company uses the double-declining rate. For the units-of-activity method, total miles are expected to be 123,000. Actual miles of use in the first 3 years were 2021, 25,000; 2022, 31,000; and 2023, 32,500.

(a1)

For Bus #3, calculate depreciation expense per mile under units-of-activity method. (Round answer to 2 decimal places, e.g. 0.50.)

Depreciation expense $ enter the depreciation expense in dollars per mile rounded to 2 decimal places per mile

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(a2)

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(b)

The parts of this question must be completed in order. This part will be available when you complete the part above.

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