Question
A delivery truck was acquired on January 1, 2020, at a cost of $40,600. The truck was originally estimated to have a salvage value of
A delivery truck was acquired on January 1, 2020, at a cost of $40,600. The truck was originally estimated to have a salvage value of $16,800 and an estimated life of 5 years. Depreciation has been recorded through December 31, 2021, using the straight-line method. On January 1, 2022, the trucks engine was rebuilt at a cost of $5,000 the estimated salvage value was revised to $15,600 and the useful life was revised to a total of 6 years. Prepare the journal entry to record depreciation expense for 2022. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)
Depreciation expense for 2022 | $enter the Depreciation expense for 2017 in dollars |
Adjusting journal entry at 12/31/22:
Date | Account Titles and Explanation | Debit | Credit |
Dec. 31 | |||
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