Question 1 In 2016, Leo construction traded in a light duty pickup truck that had a book value of $15,000. A new pickup truck having a fair market value of S55,000 was acquired. Because the vendor accepted the old truck as a trade-in, a deal was agreed and Leo construction would pay $35,000 for the new truck. Assume the new truck has a 5-year depreciable life, and an estimated salvage value of S5,000. Using the straight line method to tabulate the annual depreciation amounts and the book value of the backhoe loader at the end of each year Cumulative Depreciation for Book Value at the Year t Depreciation to End of Year t Year t Year BVt