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Discuss the factors in computing depreciation. Wheeler bus line uses the units of activity and declining balance method in depreciating its bises. One bus was
Discuss the factors in computing depreciation. Wheeler bus line uses the units of activity and declining balance method in depreciating its bises. One bus was purchased on January 1, 2010, at a cost of Tk. 148000 . Over its 4 years use life, the bus expected to be driven 100000 miles. Salvage value is expected to be Tk. 8000 . Instructions: 1. Compute the depreciation cost per unit. 2. Prepare a depreciation schedule assuming actual mileage was: 2010-26000 miles, 2011-32000 miles, 2012-25000 miles and 2013-17000 miles. 3. Declining balance using double the straight line rate
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