Question: please explain how you get the correct answer Speedy Delivery Company purchases a delivery van for $28,000. Speedy estimates that at the end of its
Speedy Delivery Company purchases a delivery van for $28,000. Speedy estimates that at the end of its four-year service life, the van will be worth $4,000. During the four-year period, the company expects to drive the van 120,000 miles. Actual miles driven each year were 33,000 miles in year 1 and 36,000 miles in year 2. Required: Calculate annual depreciation for the first two years of the van using each of the following methods. (Do not round your intermediate calculations.) 3. Activity-based Answer is complete but not entirely correct. Year 1 Annual Depreciation $ 5,280 $ 5,760 2
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