Question
please help me with this question. I am not able to solve the first part thanks On January 1, 2020, Murray Demolition, a Hamilton, Ontario,
please help me with this question. I am not able to solve the first part
thanks
On January 1, 2020, Murray Demolition, a Hamilton, Ontario, company specializing in blasting and removing buildings, purchased and took delivery of a new dump truck to add to its growing fleet. Murray Demolition has a high-class reputation and uses only the best and newest equipment on their worksites. The business spent $140,000 plus HST on the truck, which is expected to be useful to the business for four years, at which time it should be able to be sold for $60,000. Murray Demolition has always used the straight-line basis of calculating amortization. The new owners want to see the amortization schedules for the straight-line, UOP, and DDB methods just to be sure this makes sense. The business expects the truck to be useful for 200,000 kilometres60,000 kilometres in Year 1, 50,000 kilometres in each of Years 2 and 3, and 40,000 kilometres in Year 4. Is there a problem with continuing to use the straight-line method?
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