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On January 1, 2024, the Excel Delivery Company purchased a delivery van for $52,000. At the end of its five-year service life, it is
On January 1, 2024, the Excel Delivery Company purchased a delivery van for $52,000. At the end of its five-year service life, it is estimated that the van will be worth $1,000. During the five-year period, the company expects to drive the van 135,000 miles. Required: Calculate annual depreciation for the five-year life of the van using each of the following methods. 3. Units of production using miles driven as a measure of output, and the following actual mileage: Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount. Answer is not complete. Depreciation Year Miles 2024 27,000 S 2025 29,000 2026 30,000 2027 25,000 10,260 11,020 11,400 ( 9,500 ( 2028 26,000 Total $ 42,180
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