A truck acquired at a cost of $195,000 has an estimated residual value of $10,200, has an estimated useful life of 56,000 miles, and was driven 5,000 miles during the year. Determine the following: a. The depreciable cost $
b. The depreciation rate $ per mile
c. The units-of-activity depreciation for the year $

a. $184,800

b. 3.3 per miles

c. 16,500

Explanation:

(a) Calculation to determine The depreciable cost

Depreciable cost =Cost - estimated residual value

Depreciable cost=$195,000- $10,200

Depreciable cost=$184,800

(b) Calculation to determine The depreciation rate

Depreciation rate = $184,800/useful life 56,000 miles

Depreciation rate =3.3per mile

(c) Calculation to determine The units-of-activity depreciation for the year

Units-of-activity depreciation =3.3per mile*5,000 miles

Units-of-activity depreciation=16,500

Therefore The units-of-activity depreciation for the year is 16,500

1   all nations face the problem of scarcity because there are limited resources and unlimited wants. nations do not have enough factors of production to produce everything that their population wants. entrepreneurial resources initiate businesses to make new goods and services; labor resources produce goods and services.

2 there are four factors of production: natural resources, labor resources, capital resources, and entrepreneurial resources. natural resources are raw materials from nature that are used to produce goods. trees, water, and grains are natural resources. some natural resources, such as wheat and cattle, are renewable

3 wants

things that you do not need to have in order to survive, but would like to have

needs

things that you must have in order to survive

goods

physical products

services

tasks that a business perform for customers

resources

items that people can use to make or obtain what they need or want

determine

to settle or decide by choice of alternatives or possiblities

4 i really dont know

answer; consideration;