Depreciation for Partial Periods
Bar Delivery Company purchased a new delivery truck for $36,000on April 1, 2019. The truck is expected to have a service life of10 years or 180,000 miles and a residual value of $3,000. The truckwas driven 12,000 miles in 2019 and 16,000 miles in 2020. Barcomputes depreciation expense to the nearest whole month.
Required:
- Compute depreciation expense for 2019 and 2020 using thefollowing methods: (Round your answers to the nearestdollar.)
- Straight-line method
| 2019 | $ fill in the blank 1 |
| 2020 | $ fill in the blank 2 |
- Sum-of-the-years'-digits method
| 2019 | $ fill in the blank 3 |
| 2020 | $ fill in the blank 4 |
- Double-declining-balance method
| 2019 | $ fill in the blank 5 |
| 2020 | $ fill in the blank 6 |
- Activity method
| 2019 | $ fill in the blank 7 |
| 2020 | $ fill in the blank 8 |
- For each method, what is the book value of the machine at theend of 2019? At the end of 2020? (Round your answers to thenearest dollar.)
- Straight-line method
| 2019 | $ fill in the blank 9 |
| 2020 | $ fill in the blank 10 |
- Sum-of-the-years'-digits method
| 2019 | $ fill in the blank 11 |
| 2020 | $ fill in the blank 12 |
- Double-declining-balance method
| 2019 | $ fill in the blank 13 |
| 2020 | $ fill in the blank 14 |
- Activity method
| 2019 | $ fill in the blank 15 |
| 2020 | $ fill in the blank 16 |
