$5$

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Exercise $7-11($Algo$)$ Determine depreciation under three methods $($LO$7-4)$

$[$The following information applies to the questions displayed below.$]$

Part $1$ of $3$

On January $1,$ Speedy Delivery Company purchases a delivery van for $$43,200.$ Speedy estimates that at the end of its four$-$year service life, the van will be worth $$6,800.$ During the four$-$year period, the company expects to drive the van $227,500$ miles.

$1\mathrm{.}12$

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Actual miles driven each year were $58,000$ miles in year $1$ and $62,000$ miles in year $2.$

Required:

Calculate annual depreciation for the first two years using each of the following methods. $($Do not round your intermediate calculations.$)$

Exercise $7-11($Algo$)$ Part $1$

Straight$-$line.

$\backslash$table$[[$Year$,\backslash$table$[[$Annual$],[$Depreciation$]]],[1,],[2,]]$

Exercise $7-11($Algo$)$ Part $2$

$2.$ Double$-$declining$-$balance.

$\backslash$table$[[$Year$,\backslash$table$[[$Annual$],[$Depreciation$]]],[1,],[2,]]$

Exercise $7-11($Algo$)$ Part $3$

$3.$ Activity$-$based.

$\backslash$table$[[$Year$,\backslash$table$[[$Annual$],[$Depreciation$]]],[1,],[2,]]$