Response to the following problem:
A van is acquired by the Acme Delivery Service at a cost of $15,600. The expected salvage value is 5600 and the useful life as expressed in mileage is estimated to be 150,000 miles. Using the units-ofproduction method answer the following questions:
1. What is the depreciable value of the van?
2. What is the rate of deprecianon per mile?
3. What is the adjusting entry for the first year's depreciation if the van is driven 23,200 miles?
4. What is the balance in the accumulated depreciation account after the van has been driven for 65,400 miles?
S. What is the book value of the van given the information in question 4?