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Larkspur, Inc. purchased a delivery truck for $34,000 on January 1, 2022. The truck has an expected salvage value of $5,000, and is expected to
Larkspur, Inc. purchased a delivery truck for $34,000 on January 1, 2022. The truck has an expected salvage value of $5,000, and is expected to be driven 100,000 miles over its estimated useful life of 8 years. Actual miles driven were 13,800 in 2022 and 10,200 in 2023.
Compute depreciation expense for 2022 and 2023 using (1) the straight-line method, (2) the units-of-activity method, and (3) the double-declining-balance method.
Depreciation Expense | ||||||
---|---|---|---|---|---|---|
2022 | 2023 | |||||
(1) | Straight-line method | $enter a dollar amount | $enter a dollar amount | |||
(2) | Units-of-activity method | $enter a dollar amount | $enter a dollar amount | |||
(3) | Double-declining-balance method | $enter a dollar amount | $enter a dollar amount |
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