Depreciation cost, rate, and units of activity

depletion expense

cost basis recorded

Units-ef-activity depreciation A truck acquired at a cost of $80,000 has an estimated residual value of $8,000, has an estimated useful life of 200,000 miles, and was driven 18,000 miles during the year. Determine the following. If required, round your answer for the depreciation rate to 2 decimal places. (a) The depreciable cost (b) The depreciation rate per mile (c) The units-of-activity depreciation for the year The Weber Company purchased a mining site for $520,487 on July 1 . The company expects to mine ore for the next 10 years and anticipates that a total of 80,778 tons will be recovered. During the first year the company extracted 5,209 tons of ore. The depletion expense is a. $33,545.96 b. $30,471,47 c. $47,253.30 d. $47,954.00 A building with an appraisal value of $135,078 is made available at an offer price of $150,121. The purchaser acquires the property for $33,565 in cash, a 90 -day note payable for $22,202, and a mortgage amounting to $57,837. The cost basis recorded in the buyer's accounting records to recognize this purchase is a. $113,604 b. $135,078 c. $150,121 d. $116,556