om the Internet can contain viruses. Unless you need to edit it's safe to stay in Protected View. Help Gagandeep Enable Editing Q2. Assume that Inter-Provincial Transport Ltd's balance sheet includes the following assets under Property, Plant, and Equipment: Land, Buildings, and Motor-Carrier Equipment, Inter- Provincial has a separate accumulated depreciation account for each of these assets except land. Further, assume that Inter Provincial completed the following transactions in 2019: Jan. 3 Sold motor-carrier equipment with accumulated depreciation of $67,000 (cost of $130,000) for $71,000 cash. Purchased similar new equipment with a cash price of $176,000, July 2 Sold a building that had cost $650,000 and had accumulated depreciation of $145,000 through December 31 of the preceding year. Depreciation is computed on a straight line basis The building had a 40-year useful life and a residual value of $250,000. Inter Provincial received $100,000 cash and a $400,000 note receivable. Oct. 29 Purchased land and a building for a single price of $420,000. An independent appraisal valued the land at $150,000 and the building at $300,000 Dec. 31 Recorded depreciation as follows: New motor carrier equipment has an expected useful life of six years and an estimated residual value of 5% of cost, Depreciation is computed on the double diminishing balance method . Depreciation on buildings is computed by the straight-line method. The new building carries a 40 year useful life and a residual value equal to 10% of its cost It's safer to stay in Protected View Enable Editing residual value of 5% of cost. Depreciation is computed on the double diminishing- balance method. SOM2041003&001 2020 FOR De on November Depreciation on buildings is computed by the straight-line method. The new building carries a 40-year useful life and a residual value equal to 10% of its cost. Requirements: Record the transactions in Inter-Provincial Transport Ltd.'s journal. How does management choose which depreciation method to use