Calculate the depreciation expense

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Question - On January 1, 2017, Shak's Pizza purchased for $24,000 a used delivery truck that will be driven an estimated 120,000 miles to deliver pizza. The company estimated that the truck could still be used for another 8 years and can be resold at the end of 8 years for $6,000. Calculate the following independent question:

(a) depreciation expense for 2019, under the production method (assume that 17,000 miles were driven that year)

(b) the accumulated depreciation after the truck has been used for five years, under the straight-line method;

(c) depreciation expense for 2019, under the double-declining-balance method.

Reference no: EM133172649

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