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On July 1, 2023 Bonita's Greenhouse purchased a new delivery truck for $80,000. Bonita estimates that the delivery truck will have a five-year useful life,
On July 1, 2023 Bonita's Greenhouse purchased a new delivery truck for $80,000. Bonita estimates that the delivery truck will have a five-year useful life, or 144,000 kilometres, and a residual value of $8,000. Bonita's Greenhouse has a December 31 year end. Bonita drove the truck 10,000 km in 2023 and 37,000 km in 2024. Calculate depreciation expense using the double diminishing-balance method for 2023 and 2024
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