A truck acquired at a cost of $120,000 has an estimated residual value of $5,300, has an estimated useful life of 37,000 miles, and was driven 3,300 miles during the year. Determine the following. If required, round your answer for the depreciation rate to two decimal places. a. The depreciable cost$
b. The depreciation rate$per mile
c. The units-of-activity depreciation for the year$

Cost of Truck = $120,000

Residual Value = $5,300

Useful Life = 37,000 miles

a. Depreciable Cost = Cost of Truck -  Residual Value

Depreciable Cost = $120,000 - $5,300

Depreciable Cost = $114,700

b. Depreciation Rate = Depreciable Cost / Useful Life

Depreciation Rate = $114,700/37,000 miles

Depreciation Rate = $3.1 per mile

c. Number of miles driven during the year = 3,300

Depreciation for the Year = Depreciation Rate * Number of miles driven during the year

Depreciation for the Year = $3.1 per mile * 3,300

Depreciation for the Year = $10,230

answerblank(1); fixed interval; blank(2) fixed ratio;