Question
ABC Company buys a truck for $14,000 in April, 2016. In January 2017 they got repair work done on the truck for a total of
ABC Company buys a truck for $14,000 in April, 2016. In January 2017 they got repair work done on the truck for a total of $5,000 that they record as a capital cost. ABC Company has a year end of December 31 and use the diminishing balance method of depreciation. The truck has a residual value of $1,500 and is depreciated at 30%. What will the journal entry on December 31, 2017 look like?
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Financial Accounting
Authors: Kermit D. Larson, Paul B. W. Miller
5th Edition
0256091935, 978-0256091939
