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{"ops":[{"insert":"Jazz Corporation is owned by three shareholders, Ms. Socks, Mr. Gizmo & Mr. Fore. The company has just completed it's first year of operations on May 31, 2021 and the partners are trying to decide how to calculate depreciation on the the delivery vehicle they purchased during the year.\n\nOn December 1, 2020 Jazz Corporation purchased a delivery truck for $36,000. The shareholders' estimate the useful life of the vehicle is 5 years or 125,000 km & that they will be able to sell it for $6,000 at the end of it's useful life.\n\nThe shareholder's can't agree on which method of depreciation to use - Socks wants to use straight line, Gizmo wants to use double-declining balance & Fore wants to use units-of production. They have come to you for some assistance\n\nThe vehicle was driven 12,000 km in the first year of operations.\n\nRequired:\n\n1. Applying the half-year rule calculate depreciation for the year ended May 31, 2021 using\n\na- the straight line method\n\nb-the double-declining balance method\nC\n\n\n"}]}
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