Answer:
$1,666.67
Explanation:
Depreciation under the straight-line method is constant throughout the use-life of an asset.
Depreciation is calculated by first obtaining the depreciable amount
= cost of the asset - residual value
=$34,000 -$4000
=$30,000
Depreciation rate = 1/6 x 100
=16.66 percent
Depreciation per year
= 16.67/100 x 30,000
= $5,000
Depreciation per year is = $5000
During year 1, the van operated for four months( Sept, Oct, Nov, and Dec.)
Depreciation for the four months = 4/12 x 5000
=$1,666.67
