Question: Culver Bus Lines uses the units-of-activity method in depreciating its buses. One bus was purchased on January 1, 2022, at a cost of $215,150. Over

Culver Bus Lines uses the units-of-activity method in depreciating its buses. One bus was purchased on January 1, 2022, at a cost of $215,150. Over its 7-year useful life, the bus is expected to be driven 142,500 miles. Salvage value is expected to be $7,100.

(b)

Prepare a depreciation schedule assuming actual mileage was: 2022, 38,500; 2023, 31,000; 2024, 31,000; and 2025, 42,000. (Round cost per unit to 2 decimal places, e.g. 15.25 and all other answers to 0 decimal places, e.g. 5,275.)

Computation						End of Year
Year	Units of Activity	x	Depreciation Cost /Unit	=	Annual Depreciation Expense	Accumulated Depreciation	Book Value
2022
2023
2024
2025

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