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On January 3, 2018, Brisk Delivery Service purchased a truck at a cost of $75,000 Before placing the truck in service, Brisk spent $4,000 painting
On January 3, 2018, Brisk Delivery Service purchased a truck at a cost of $75,000 Before placing the truck in service, Brisk spent $4,000 painting it, $2,500 replacing tires, and S6,500 overhauling the engine. The truck should remain in service for five years and have a residual value of $10,000. The truck's annual mileage is expected to be 27,000 miles in each of the first four years and 12,000 mies in the fifth year-120,000 miles in total. In deciding which depreciation method to use, Harvey Warner, the general manager, requests a depreciation schedule for each of the depreciation methods (straight-line, units-of-production, and double-declining-balance). Read the requirements. Requirement 1. Prepare a depreciation schedule for each depreciation method, showing asset cost, depreciation expense, accumulated depreciation, and asset book value. Begin by preparing a depreciation schedule using the straight-line method. Straight-Line Depreciation Schedule Depreciation for the Year AssetDepreciable Depreciation Depreciation Accumulated Boolk Date Cost Cost Rate Expense Depreciation Value 1-3-2018 12-31-2018 12-31-2019 12-31-2020 12-31-2021 12-31-2022
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