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Paramount Corporation purchased a delivery truck $36,000. Using declining-balance method at 150% of the straight-line rate. Estimated useful life of the truck is 5 years and estimated salvage value is $6,000.
Instructions:
Question a. Compute the depreciation expense to be recognized each calendar year using straight line method.
Question b. Compute the depreciation expense to be recognized each year of the 5 years using Double declining balance (200%). make proper chart.
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