Fabian Woodworks
This company purchased a truck at a cost of $12,000. The truck has an estimated residual value of $2,000 and an estimated life of five years, or 100,000 hours of operation. The truck was purchased on January 1, Year 1, and was used for 27,000 hours in Year 1 and 26,000 hours in Year 2.
-Based on the information presented in the figure Fabian Woodworks,which method of depreciation will maximize depreciation expense in Year 1?

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The Answer of Fabian Woodworks
This company purchased a truck at a cost of $12,000. The truck has an estimated residual value of $2,000 and an estimated life of five years, or 100,000 hours of operation. The truck was purchased on January 1, Year 1, and was used for 27,000 hours in Year 1 and 26,000 hours in Year 2.
-Based on the information presented in the figure Fabian Woodworks,which method of depreciation will maximize depreciation expense in Year 1?

Fabian Woodworks This Company Purchased a Truck at a Cost of $12,000