Last year, Andy Conway bought an automobile for $28,000 to use in his taxi business. He expected

Question:

Last year, Andy Conway bought an automobile for $28,000 to use in his taxi business. He expected to drive the vehicle for 140,000 miles before disposing of it for $3,500. Andy drove 4,000 miles this week and 2,400 miles last week.
Required
a. Determine the total cost of vehicle depreciation this week and last week. Round your figures to 3 decimal points.
b. Explain why allocating the vehicle cost would or would not be relevant to decision making.