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Speedy Delivery Company purchases a delivery van for $39.200 Speedy estimates that at the end of its four-year service ite, the van wll be worth
Speedy Delivery Company purchases a delivery van for $39.200 Speedy estimates that at the end of its four-year service ite, the van wll be worth $6,600. During the four-year peniod, the company expects to drive the van 163,000 miles Actual miles driven each year were 42,000 miles in year 1 and 48,000 miles in year 2 Calculate annual depreciation for the first two years of the van using each of the following methods. (Do not round your intermedlate calculations.) 1. Straight-line. Year ciation 8,150 2. Double-declining-balance nnua Depreciation Year 2
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