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Jayhawk Industries purchased a truck for $40,000 on January 1. The truck had an estimated useful life of 80,000 miles and an estimated residual value
Jayhawk Industries purchased a truck for $40,000 on January 1. The truck had an estimated useful life of 80,000 miles and an estimated residual value of $8,000. In the third year of ownership, the car was driven 20,000 miles. Using the units of production method, the amount of depreciation expense for year 3 was
$12,500.
$10,000.
$ 9,250.
$ 8,000.
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