Reference no: EM132573306

On 10/1/X1, Cameron's Deli purchased a used delivery truck with an estimated remaining life of 7 years for $21,000 paying $7,000 cash down and a note to pay the difference over 5 years at 4.5% interest. In addition, Cameron had to pay sales tax of 6% on the sales price and license and registration fees of $250 on the date of sale. Prior to using the truck, Cameron had to replace all 4 tires at a cost of $450 and have decals of the company's logo and number placed on the truck at a cost of $320. Cameron also paid a $150 insurance premium at the end of the month. Cameron determined the truck would have a salvage value of $1,200 and straight-line depreciation method (if necessary) would be used.

Question 1: What is reported as Accumulated Depreciation related to this asset, for the year ended 12/31/X4?

Group of answer choices

Option 1: 10,251

Option 2: 14,209

Option 3: 13,029

Option 4: 9875