Rosco Taxi Service uses the units-of-activity method in computing depreciation on its taxicabs. Each cab is expected to be driven 150,000 miles. Taxi 10 cost $27,500 and is expected to have a salvage value of $500. Taxi 10 was driven 32,000 miles in 2013 and 33,000 miles in 2014. 1. Determine the depreciation cost. (Round answer to 2 decimal places, e. g. 1.25.)
Depreciable cost $ per unit
2. Compute the depreciation for each year. (Round answers to 0 decimal places, e. g. 125.)
2016 2017
Depreciation expense $ $

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