Year 1: 1,300 * 55% = 715 depreciation
1,300 - 715 = 585 book value
Year 2: 585 * 55% = 321.75 depreciation
585 - 321.75 = 263.25 book value
Year 3: 263.25 * 55% = 144.79 depreciation
263.25 - 144.79 = 118.46 book value
If the bike was bought 2 years ago, then its current value is $263.25.
Currently, it is the beginning of Year 3 but depreciation is computed at the end of the year.