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Speedy Delivery Company purchases a delivery van for $41,600. Speedy estimates that at the end of its four-year service life, the van will be worth
Speedy Delivery Company purchases a delivery van for $41,600. Speedy estimates that at the end of its four-year service life, the van will be worth $6,000. During the four-year period, the company expects to drive the van 222,500 miles.
Actual miles driven each year were 58,000 miles in year 1 and 64,000 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 intermediate calculations.)
- Straight-line
- Double-declining-balance.
- Activity-based.
Need to be in excel format!!
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