Question: A tractor for over - the - road hauling is purchased for $ 9 5 , 0 0 0 . 0 0 . It is

A tractor for over-the-road hauling is purchased for $95,000.00. It is expected to be of use to the company for 6 years, after which it
will be salvaged for $3,600.00. Calculate the depreciation deduction and the unrecovered investment during each year of the tractors
life.
a. Use straight-line depreciation. Provide depreciation and book value for year 6.
Depreciation for year 6=$
book value for year 6=$
b. Use declining-balance depreciation, with a rate that ensures the book value equals the salvage value. Provide depreciation and book
value for year 6.
Depreciation for year 6=$
book value for year 6=$
c. Use double declining balance depreciation. Provide depreciation and book value for year 6.
Depreciation for year 6=$
book value for year 6=$
d. Use double declining balance, switching to straight-line depreciation. Provide depreciation and book value for year 6.
Depreciation for year 6=$
book value for year 6=$
Please focus on B and D
A tractor for over-the-road hauling is purchased for $95,000.00. It is

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