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Question - Linton Company purchased a delivery truck for $34,000 on January 1, 2017. The truck has an expected salvage value of $2,000, and is expected to be driven 100,000 miles over its estimated useful life of 8 years. Actual miles driven were 15,000 in 2017 and 12,000 in 2018.
(a) Assume that Linton uses the straight-line method.
i) Prepare the journal entry to record 2017 depreciation.
ii) Show how the truck would be reported in the December 31, 2017, balance sheet.
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