Chippawa Industries Acquired a Delivery Truck on January 4,2010

Multiple Choice

Chippawa Industries acquired a delivery truck on January 4,2010.The total cost of the truck was $145,000.Chippawa estimated that the truck would be used for 8 years before being sold for an estimated $23,500.Chippawa uses the double-declining balance method of depreciation.The total depreciation expense for the year ended December 31,2010 was:

A) $36,250
B) $30,375
C) $18,125
D) $15,188