Answered step by step
Verified Expert Solution
Question
00
1 Approved Answer
Cyber Systems completed the following transactions involving delivery trucks: 1999 Jan. 1 Paid cash for a new delivery truck $41,160. The truck was estimated to
Cyber Systems completed the following transactions involving delivery trucks: 1999 Jan. 1 Paid cash for a new delivery truck $41,160. The truck was estimated to have a 5 year service life and a $6,000 residue value. Dec. 31 Recorded straight-line amortization on the truck. 2000 Dec. 31 Recorded straight-line amortization on the truck. However, due to new information obtained earlier in the year, the original estimated service life of the truck was changed from 5 years to 4 years, and the original estimated trade-in value was increased to $7,100. Round your answer to the nearest whole dollar. 2001 July 2 cyber System made decision on Truck Disposal. The above truck was sold for cash $30,000. Required: Please prepare journal entries to record all of the above transactions and DATE the entries and show me your calculations!!! Don't forget to record the amortization on the original truck from January 1, 2001 to the date of sale
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started