Exercise : 3 The following data for a small delivery truck purchased by Barb's Florists on January 1, 2005. Cost $13,000 Expected salvage value $1000 Estimated useful life(years) 5 Instructions: a) Prepare five years depreciation schedule, using straight line method. b) Journalize the adjusting entry for depreciation expense on Dec. 31, 20021. Solution: a Dep. Schedule: Depreciable Dep. Annual Accumulated "Book Year Cost x Rate=Dep. Exp. Dep. Value 2005 X 2006 2007 X 2008 XX 2009 * Book value - original cost accumulated depreciation Solution: b Dr Cr