Why depreciation expense's fourth and fifth are the same? give detail explanation please.

evaluation WAS TOO of S4305). 000 the initiale idual value ($340 SX At 31 December. Year 3, the depreciation subsequent to the reval based on the revalued amounts (fair value of $131.400 and residual value that the depreciation expense over the life of the truck totals $306.000 the truck plus revaluation surplus minus the estimated revalued residual ($131,400 - ($340,000 - $217,600)) - $43,000). anted to depreciate preciation rate will This deprecia 150 Percent Declining-Balance Now assume that we wanted truck using 150 percent of the straight-line rate. In this case, the deprecia 30 percent, instead of 40 percent (a 20% straight-line rate X 150% - 30%) schedule is in Exhibit 9-8. Depreciation Schedule: 150% Declining-Balance Method Exhibit 9-8 150% DECLINING- BALANCE DEPRECIATION SCHEDULE bap Computation Depreciation Expense Accumulated Depreciation Book Year $340,000 238.00 165.000 First Second .. Third Fourth.. Fifth ......... Total . $340,000 X 30% 238,000 x 30 166,600 X 30% (116.620 - 40,000) + 2 (78,310 - 40,000) o od at $102,000 $ 102,000 71,400 173,400 49.980 223,380 3 8,310 Photo 261,690 OD 38,310 300.000 $300,000 1186 78,310 40.0 ..o Switched to the straight-line method for Yoars 4 and 5 Notice that we switched to straight-line depreciation in the last two years. The undepreciated cost of the truck at the end of Year 3 was $116,620. To depreciate the truck to an estimated residual value of $40,000 at the end of Year 5. $76,620 in depreciation expense must be recognized over the next two years. At this point, larger depreciation charges can be recognized if we simply allocate this $76,620 by the straight-line method, rather continuing to compute 30 percent of the remaining book value. Allocating the remaining book value over the remaining life by the straight-line does not represent a change in depreciation methods. Rather, a switch to straight-line e didirixa this will result in larger depreciation is part of the declining-balance method. I in which we arrive at the desired residual value. V IDEO cous ROSH WHICH DEPRECIATION - er, a switch to straight-line when ung-balance method. This is the way