On July 1, 2020, Molly Greenhouse purchased a new delivery truck for $80,000. She paid...
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On July 1, 2020, Molly Greenhouse purchased a new delivery truck for $80,000. She paid a $20.000 cash and signed a promissory note for the remainder. Molly estimates that the delivery truck will have a five year useful life, or 200.000 metres and a residual value of 0.000. Molly's Greenhouse hasa December 31 year end. Molly drove the truck 20.000 km in 2020:57.000 km in 2021 58,000 in 2022, 55000 in 2023, and 11.000 in 2024 Prepare depreciation schedules for the life of the asset under the followine depredation methods 1 Strethod 2 Bu aming balance, and 3 or production method 1. STRAIGHT-LINE METHOD Year Depreciable Amount Depreciation Rate Fraction of a Year Depreciation Expense Truck 2020 $ 6/12 $ 2021 2022 2023 2024 6/12 2025 2. DOUBLE-DIMINISHING-BALANCE METHOD Depreciable Year Amount Depreciation Rate Fraction of a Year - Depreciation Expense Vehicles 2020 s 6/12 $ 2021 2022 2023 2024 2025 - 21 !! 3. UNITS-OF-PRODUCTION METHOD Year No. of Units Depreciation Am Unit > Depreciation Expense Vehicles 2020 2021 202 2024 Textbook and Media
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