n Homework 2010 Jan. Paid five-year life and a 42,300 salvage value . Delivery t
ID: 2573699 • Letter: N
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n Homework 2010 Jan. Paid five-year life and a 42,300 salvage value . Delivery truck costs are recorded in the Trucks account. 1 625,015 cash plus 61,785 in sales tax for a nev delivery truck estinated to have a Dec.31 Recorded annual atraight-line depreciation on the truck 2017 Dec. 31 Due to new inforsation obtained earlier in the year, the truck's estimated useful life changed trom five to four years, and the estinated salvage value was increased to 2,550. Recorded annual straight-1ine depreciation on the truck. 2018 Dec. 31 Recorded arnual straghlindepreciation on the tack. Sold the truck for 5,600 cash. Required: t-a. Calculate depreciation for year 2017 1-b. Calculate book value and gain (loss) for sale of Truck on December, 2018. Hs. Prepare journal entries to record these transactions and events Complete this question by entering your answers in the tabs below. Required SA Required 18 Required 1C Calculate depreciation for year 2017. (from 2015 Less revised salvage value Total depreciation for 2017Explanation / Answer
Depreciation expense for year 2017 total cost 26800 less:accumulated depreciation (from 2016) 4900 book value 21900 less:revised salvage value 2,550 remaining cost to be depreciated 19,350 years of the life remaining (4-1) 3 total depreciation for 2017 6450 depreciation expense 2016 4,900 depreciation expense 2017 6,450 depreciation expense 2018 6,450 Accumulated Depreciation 12/31/2018 17,800 book value of truck at 12/31/2018 total cost 26,800 Accumulated depreciation. 17,800 book value of truck at 12/31/2018 9,000 loss on sale of truck 3,400 journal Entries Date General Journal Debit Credit 1/1/2016 Trucks 26,800 cash 26,800 12/31/2016 Depreciation expense-Trucks 4,900 Accumulated depreciation-trucks 4,900 12/31/2017 Depreciation expense-Trucks 6,450 Accumulated depreciation-trucks 6,450 12/31/2018 Depreciation expense-Trucks 6,450 Accumulated depreciation-trucks 6,450 12/31/2018 Cash 5,600 Accumulated depreciation 17,800 loss on sale 3,400 Trucks 26,800
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