Question - West Side's Pizza bought a used Toyota delivery van on January 2, 2014, for $22,000. The van was expected to remain in service for four years left parenthesis (80,000 miles). At the end of its useful life, West Side's officials estimated that the van's residual value would be $2,000.

The van traveled 32,000 miles the first year, 28,000 miles the second year, 15,000 miles the third year, and 5,000 miles in the fourth year.

Requirements

A. Make a schedule of depreciation expense per year for the van under the three depreciation methods.

B. Which method best tracks the wear and tear on the van?

C. Which method would West Side's prefer to use for income tax purposes? Explain in detail why West Side's prefers this method.