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A company purchased a truck for $50,000 on July 1, 2009

A company purchased a truck for $50,000 on July 1, 2009. The truck has an estimated useful life of 5 years and will have no salvage value. It is estimated that the truck can be driven for 150,000 miles. The truck was driven for 18,000 miles during 2009. If the goal is to reduce taxable income to the lowest amount, which method should be elected and how much depreciation can be deducted in 2009
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Answer #1
This is an accounting problem rather than a math problem. Accounting is not my area. That said, I would guess that using a double declining balance method would be best. But, I am on very shaky ground here.
answered by: kayla :]
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