On January 1 , 2023 , McCabe Demolition , a Halifax , Nova Scotia , company specializing in blasting and removing buildings , purchased and took delivery of a new dump truck to add to its growing fleet McCabe Demolition has a high - class reputation and uses only the best and newest equipment on its worksites . The business spent $ 155,000 plus HST on the truck , which is expected to be useful to the business for four years , at which time it should be able to be sold for $ 60,000 McCabe Demolition has always used the straight - line basis of calculating amortization The new owners want to see the amortization schedules for the straight - line , UOP , and DDB methods just to be sure this makes sense . The business expects the truck to be useful for 200,000 kilometres 66,000 kilometres in Year 1 47,000 kilometres in each of Years 2 and 3 , and 40,000 kilometres in Year 4. Is there a problem with continuing to use the straight - line method ? Let's begin with the straight - line amortization schedule Before completing the straight - line amortization schedule , calculate the straight - line amortization rate ( Round the rate to two decimal places . ) Straight - Line