During the first two years, the company drove the company truck 57S00 and 62.000 miles, respectively, to deliver merchandise to its customers. The company originally purchased the truck for $150,000. IF the truck has an estimated life of 5 years or 300,000 miles, with an estimated residual vake of $45.000, what amount of depreciation expense should the company record in the second year using the activity-based method? O $21,700 - $21,000 $19,950 $41,650

During the first two years, the company drove the company truck 57S00 and 62.000 miles, respectively, to deliver merchandise to its customers. The company originally purchased the truck for $150,000. IF the truck has an estimated life of 5 years or 300,000 miles, with an estimated residual vake of $45.000, what amount of depreciation expense should the company record in the second year using the activity-based method? O $21,700 - $21,000 $19,950 $41,650

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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