M6-16

LO4 M6-16. Computing Depreciation Under Straight-Line and Double-Declining-Balance A delivery van costing $37,000 is expected to have a $2,900 salvage value at the end of its useful life of five years. Assume that the truck was purchased on January 1. Compute the depreciation expense for the first two calendar years under the following depreciation methods. a. Straight-line b. Double-declining-balance