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Blossom Ltd. purchased a delivery truck on May 1, 2018, at a cost of $86,400. The truck is expected to have a residual value

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Answer #1

Depreciation = (Cost - Salvage value) /Useful life

2018

= (86,400 - 8,040)/4 years * 8/12

= 13,060

2019

= (86,400 - 8,040)/4

= 19,590

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