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A truck was purchased for $90,000 with an $18,000 salvage value at the end of its useful life

Accounting

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A truck was purchased for $90,000 with an $18,000 salvage value at the end of its useful life. Monthly depreciation expense of $1,500 was recorded using the straight-line method. The annual depreciation rate is

a. 20%.

b. 2%.

c.   8%.

d. 25%.