Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

In recent years, Pina Transportation purchased three used buses. Because of frequent turnover in the accounting department, a different accountant selected the depreciation method for

image text in transcribed
image text in transcribed
image text in transcribed
In recent years, Pina Transportation purchased three used buses. Because of frequent turnover in the accounting department, a different accountant selected the depreciation method for each bus, and various methods were selected. Information concerning the buses is summarized below. For the declining-balance method, the company uses the double-declining rate. For the units-of-activity method, total miles are expected to be 118,000 . Actual miles of use in the first 3 years were: 2019,27,000;2020,35.500; and 2021,31,000. Calculate depreciable cost per mile for Bus 3. (Round answer to 2 decimal places, e.g. 0.50.) Compute the amount of accumulated depreciation on each bus at December 31,2020. If Bus no. 2 was purchased on April 1 instead of January 1, what is the depreciation expense for this bus in 2018 and 2019 ? (Round answers to 0 decimal places, e.g. 2,125.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Bookkeeping And Auditing A Career Guide

Authors: Harry Watts

1st Edition

1639878106, 1639878106

More Books

Students also viewed these Accounting questions