The company bought the truck for $30, 000 and a year later the truck had depreciated. It has lost $18, 000 of its original value. So it cost $12, 000. A year later the truck appreciated slightly. It gained $10, 500 because it was sold for $22, 500. The company had hoped that four years after using the truck, it would cost $33, 000. So the truck experienced a loss of $18, 000 in the first year and managed to gain $10, 500.
