Finicky Freight purchased a truck at the beginning of 2019 for $80,000. The company decided to depreciate the truck over a 5-year period using the double-declining-balance method. The company estimated the equipment's salvage value at $8,000. Show how the costs should be presented on the financial statements at December 31, 2020. Label the statements properly.

Question

Quizplus · Accepted Answer

The Answer of Finicky Freight purchased a truck at the beginning of 2019 for $80,000. The company decided to depreciate the truck over a 5-year period using the double-declining-balance method. The company estimated the equipment's salvage value at $8,000. Show how the costs should be presented on the financial statements at December 31, 2020. Label the statements properly.

Finicky Freight Purchased a Truck at the Beginning of 2019