Reference no: EM131437110
Part 1:
Prepare a depreciation schedule showing depreciation expense, accumulated depreciation and ending book value, year-by-year.
3 schedules for the 3 methods: straight-line, units-of-production, double declining basis. Asset is a delivery Truck. Use Excel and show calculations.
Est. Life ………… 5
Orig. Cost Basis 24,500.00
Est. Residual Value 2,500.00
Est. total mileage 100,000
miles driven, Yr 1 21,400
miles driven, Yr 2 19,700
miles driven, Yr 3 18,900
miles driven, Yr 4 23,400
miles driven, Yr 5 16,600
Part 2:
Assuming the truck is sold at the end of yr. 3, give the gen. journal entry to record the sale (straight-line method)
assume it was sold for:
11,720.00
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