1. A building acquired at the beginning of the year at a cost of $316,000 has an estimated residual value of $48,000 and an estimated useful life of 40 years. Determine (a) the depreciable cost, (b) the straight-line rate, and (c) the annual straight-line depreciation.
2. A tractor acquired at a cost of $120,000 has an estimated residual value of $5,000, has an estimated useful life of 50,000 hours, and was operated 4,200 hours during the year. Determine (a) the depreciable cost, (b) the depreciation rate, and (c) the units-of-production depreciation for the year.
3. A truck acquired at a cost of $90,000 has an estimated residual value of $18,000, has an estimated useful life of 200,000 miles, and was driven 40,000 miles during the year. Determine (a) the depreciable cost, (b) the depreciation rate, and (c) the units-of-production depreciation for the year.