ABC Company has the following asset on its books: Using the double declining balance depreciation...
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Accounting
ABC Company has the following asset on its books: Using the double declining balance depreciation method, what is the depreciation expense in years 1 through 4.
Truck cost 31,000
Salvage value 1,000
Estimated life in years 4
Estimated life in miles 100,000
Miles driven in years 1 = 25,000, year 2 = 20,000, year 3 = 33,000, year 4 = 24,000
Question 9 options:
a)
year 1 = 7,500, year 2 = 6,000, year 3 = 9,900, year 4 = 7,200.
b)
15,500, year 2 = 7,750, year 3 = 3,875, year 4 = 1,939.
c)
year 1 = 15,000, year 2 = 7,500, year 3 = 3,750, year 4 = 3,750.
d)
year 1 = 15,500, year 2 = 7,750, year 3 = 3,875, year 4 = 2,875.
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