Skysong Ltd. purchased a new delivery truck on January 1, 2023. The truck cost $104,600 and was estimated to have a residual value of $1,000. It was estimated that the truck would be driven 518,000 kilometres for the company over its useful life of five years. During 2023, the truck was driven 95,100 kilometres, and 128,800 kilometres in 2024. Calculate depreciation expense for 2023 and 2024. (Round depreciation expense per kilometre to 2 decimal places, e.g. 0.25 and final answers to 0 decimal places, e.g. 5,275.) Depreciation expense $ 2023 19,020 2024

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Skysong Ltd. purchased a new delivery truck on January 1, 2023. The truck cost $104,600 and was estimated to have a residual value
of $1,000. It was estimated that the truck would be driven 518,000 kilometres for the company over its useful life of five years. During
2023, the truck was driven 95,100 kilometres, and 128,800 kilometres in 2024.
Calculate depreciation expense for 2023 and 2024. (Round depreciation expense per kilometre to 2 decimal places, e.g. 0.25 and
final answers to 0 decimal places, e.g. 5,275.)
Depreciation expense $
2023
19,020
$
2024
Transcribed Image Text:Skysong Ltd. purchased a new delivery truck on January 1, 2023. The truck cost $104,600 and was estimated to have a residual value of $1,000. It was estimated that the truck would be driven 518,000 kilometres for the company over its useful life of five years. During 2023, the truck was driven 95,100 kilometres, and 128,800 kilometres in 2024. Calculate depreciation expense for 2023 and 2024. (Round depreciation expense per kilometre to 2 decimal places, e.g. 0.25 and final answers to 0 decimal places, e.g. 5,275.) Depreciation expense $ 2023 19,020 $ 2024
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