Bramble Corp. purchased a delivery truck for $38,800 on January 1, 2019. The truck has an expected salvage value of $1,800, and

Question

2 years ago

11

Bramble Corp. purchased a delivery truck for $38,800 on January 1, 2019. The truck has an expected salvage value of $1,800, and

is expected to be driven 100,000 miles over its estimated useful life of 8 years. Actual miles driven were 14,700 in 2019 and 12,900 in 2020. (a1) Calculate depreciable cost per mile under units-of-activity method. (Round answer to 2 decimal places, e.g. 0.50.)

Business

1 answer:

Advocard [28] · Answer 1 · 2022-08-25T18:27:34+03:00

Advocard [28]2 years ago

5 0

Answer:

$0.37

Explanation:

Depreciable cost = cost of asset - salvage value

$38,800 - $1,800 = $37,000

Depreciable cost per mile = $37,000 / 100,000 = $0.37