Linton Company purchased a delivery truck for $34,000 on January 1, 2024. The truck has an expected residual value of $2,000, and is expected to be driven 100,000 kilometres over its estimated useful life of eight years. Actual kilometres driven were 15,000 in 2024 and 12,000 in 2025. 

Instructions 

a. Calculate depreciation expense for 2024 and 2025 using 

(1) The straight-line method, 

(2) The units-of-production method 

(3) The double diminishing-balance method at a rate of 25%. 

b. Assume that Linton uses the straight-line method. 

1. Prepare the journal entry to record 2024 depreciation expense. 

2. Show how the truck would be reported in the December 31, 2024, balance sheet.