Danford Trucking Purchased a Tractor Trailer for $147,000

Multiple Choice

Danford Trucking purchased a tractor trailer for $147,000.Danford uses the units-of-activity method for depreciating its trucks and expects to drive the truck 1,000,000 miles over its 12-year useful life.Salvage value is estimated to be $21,000.If the truck is driven 80,000 miles in its first year, how much depreciation expense should Danford record?

A) $9,333
B) $11,760
C) $10,080
D) $10,888