Question
The Western Salvage Service bought three trucks. The following table shows the cost, estimated life, and resale estimate for each truck. Compute the amount of
The Western Salvage Service bought three trucks. The following table shows the cost, estimated life, and resale estimate for each truck. Compute the amount of depreciation for each vehicle for the first 2 years using the straight-line method. Round your intermediate calculations and final answers to the nearest dollar.
| Original Cost | Estimated Life | Resale Estimate | Depreciation for First Two Years |
| a. $31,000 | 6 yr | $4,000 | $ |
| b. $43,000 | 8 yr | 2,000 | $ |
| c. $60,000 | 7 yr | 11,000 | $ |
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Financial Accounting
Authors: Charles T. Horngren, Jr. Harrison, Walter T.
2nd Edition
0133118207, 978-0133118209
