A truck acquired at a cost of $505,000 has an estimated residual value of $28,000, has an estimated useful life of 60,000 miles, and was driven 4,800 miles during the year. Determine the following. If required, round your answer for the depreciation rate to two decimal places.

(a)	The depreciable cost	$fill in the blank 1
(b)	The depreciation rate	$fill in the blank 2	per mile
(c)	The units-of-activity depreciation for the year

Double-Declining-Balance Depreciation

A building acquired at the beginning of the year at a cost of $74,800 has an estimated residual value of $5,200 and an estimated useful life of four years. Determine the following.

(a)	The double-declining-balance rate	fill in the blank 1	%
(b)	The double-declining-balance depreciation for the first year	$fill in the blank 2

Capital and Revenue Expenditures

On February 14, Garcia Associates Co. paid $2,300 to repair the transmission on one of its delivery vans. In addition, Garcia paid $450 to install a GPS system in its van.

Question Content Area

Journalize the entry for the transmission expenditure. If an amount box does not require an entry, leave it blank.

Feb. 14	Accounts PayableAccounts ReceivableAccumulated Depreciation-Delivery VanCashDepreciation ExpenseDelivery VanRepairs and Maintenance Expense	- Select -	- Select -
	Accounts PayableAccounts ReceivableAccumulated Depreciation-Delivery VanCashDepreciation ExpenseDelivery VanRepairs and Maintenance Expense	- Select -	- Select -

Question Content Area

Journalize the entry for the GPS system expenditure. If an amount box does not require an entry, leave it blank.

Feb. 14	Accounts PayableAccounts ReceivableAccumulated Depreciation-Delivery VanCashDepreciation ExpenseDelivery VanRepairs and Maintenance Expense	- Select -	- Select -
	Accounts PayableAccounts ReceivableAccumulated Depreciation-Delivery VanCashDepreciation ExpenseDelivery VanRepairs and Maintenance Expense	- Select -	- Select -