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QUESTION 18 This fact pattern provides information for Q#18-Q#21, inclusive. Hopkins Company purchased a truck for $36,000 on May 1, Year 1, intending to use

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QUESTION 18 This fact pattern provides information for Q#18-Q#21, inclusive. Hopkins Company purchased a truck for $36,000 on May 1, Year 1, intending to use the truck for 7 years starting on the purchase date. The firm uses the straight-line depreciation method and estimated the salvage residual) value of the truck at $8,000 at the time of the intended sale in Year 8. The firm's fiscal year ends on December 31, After depreciating the truck using the factors stated above, on January 1 Year 3 the firm's management elected to change the estimated salvage value to $13,000. On January 1, Year 3, management also changed the truck's estimated total useful life to 5 years that started on the date the truck was placed in service. When doing calculations, if you use decimals you are to round to the nearest one hundredth (.01). Enter your answer in whole numbers, without 's' sign and without commas. Q#18: Using the straight line depreciation method, calculate the Depreciation Expense for Year 1. Years 1 and 2 occur before any changes in estimates are made by management. QUESTION 19 When doing calculations if you use decimals you are to round to the nearest one hundredth [.01). Enter your answer in whole numbers, without 's' sign and without commas. Q#19: Using the straight-line depreciation method, calculate the Depreciation Expense for Year 2. Years 1 and 2 occur before any changes in estimates are made by management. QUESTION 20 When doing calculations if you use decimals you are to round to the nearest one hundredth (01). Enter your answer in whole numbers, without 's' sign and without commas, Q#20: Using the straight-line depreciation method, calculate the Depreciation Expense for Year 3. This requires Incorporating the changes in estimate made by management on January 1, Year 3. QUESTION 21 Q#21: Using the straight-line depreciation method, calculate the Depreciation Expense for Year 4. This require incorporating the changes in estimate made by management on January 1 Year 3

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