On January 3, 2018, On Time Delivery Service purchased a truck at a cost of $67,000. Before placing the truck in service, On Time spent $4,000 painting it, $1,200 replacing tires, and $2,500 overhauling the engine. The truck should remain in service for five years and have a residual value of $5,100. The truck's annual mileage is expected to be 20,000 miles in each of the first four years and 12,800 miles in the fifth year-92,800 miles in total. In deciding which depreciation method to use, Mikail Johnson, 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 expenso, 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 Asset Depreciable Depreciation Accumulated Book Date Cost Cost Expense Depreciation 1-3-2018 12-31-2018 12-31-2019 12-01-2020 12-31-2021 12-31-2022 Useful Life Value 0 Requirements 1. Prepare a depreciation schedule for each depreciation method, showing asset cost, depreciation expense, accumulated depreciation, and asset book value. 2. On Time prepares financial statements using the depreciation method that reports the highest net income in the early years of asset use. Consider the first year that On Time uses the truck. Identify the depreciation method that meets the company's objectives. Print Done Read the requirements. Before completing the units-ol-production depreciation schedule, calculate the depreciation expense per unit. Select the formula, then enter the amounts and calculate the depreciation expense per unit. (Round depreciation expense per unit to two decimal places.) Depreciation per unit Prepare a depreciation schedule using the units-of-production method (Enter the depreciation per unit to two decimal places, sXXX.) Units-of-Production Depreciation Schedule Depreciation for the Year Asset Depreciation Number of Depreciation Accumulated Book Date Cost Per Unit Units Expense Depreciation Value 1-3-2018 12-31-2018 12-31-2019 12-31-2020 12-31-2021 Choose from any list or enter any number in the input fields and then continue to the next question Book Value Read the requirements Double-Declining-Balance Depreciation Schedule Depreciation for the Year Asset Book DDB Depreciation Accumulated Date Cost Value Rato Expense Depreciation 1-3-2018 12-31-2018 12-31-2019 12-31-2020 12-31-2021 12-31-2022 Requirement 2. On Time prepares financial statements using the depreciation method that reports the highest net income in the early years of asset use. Consider the first year that On Time uses the truck. Identify the depreciation method that meets the company's objectives The depreciation method that reports the highest net income in the first year is the and therefore the highest net income method. It produces the depreciation expense