On January 1, a company purchases a delivery van for $43,200. The company estimates that at the end of its four-year service life, the van will be worth $6,800. During the four-year period, the company expects to drive the van 227,500 miles.

Actual miles driven each year were 58,000 miles in year 1 and 62,000 miles in year 2.

Required: Calculate annual depreciation for the first two years using each of the following methods. 1. Straight-line. 2. Double-declining-balance. 3. Activity-based.