P10-31A (similar to) Question Help On January 3, 2018, Swifty Delivery Service purchased a truck at a cost of $80,000. Before placing the truck in service, Swifty spent $2,200 painting it, $600 replacing tires, and $9,200 overhauling the engine. The truck should remain in service for five years and have a residual value of $8,000. The truck's annual mileage is expected to be 30.000 miles in each of the first four years and 20,000 miles in the fifth year-140.000 miles in total. In deciding which depreciation method to use, Car Thomas, the general manager, requests a depreciation schedule for each of the depreciation methods (straight-line, units-of-production, and double-declining-balance). Read the requirements. Requirement 1. Prepare a depreciation schedule for each depreciation method, showing asset cost, depreciation expense, accumulated depreciation, and asset book value. Begin by preparing a depreciation schedule using the straight-line method. Straight-Line Depreciation Schedule Depreciation for the Year Asset Depreciable Useful Depreciation Accumulated Book Date Cost Cost Life Expense Depreciation Value 1-3-2018 80,000 80,000 12-31-2018 80,000 + 5 years 14,400 14,400 65,6001 12-31-2019 65,600 5 years 14,400 51,200 12-31-2020 51,200 + 5 years UUU 14,400 36,800 28,800 43,200 57,600 72,000 12-31-2021 5 years = 14,400 22,400 36,800 - 22,400 + 12-31-2022 5 years 14,400 8,000 Choose from any list or enter any number in the input fields and then click Check Answer. ? P10-31A (similar to) Question Help On January 3, 2018, Swifty Delivery Service purchased a truck at a cost of $80,000. Before placing the truck in service, Swifty spent $2,200 painting it, $600 replacing tires, and $9,200 overhauling the engine. The truck should remain in service for five years and have a residual value of $8,000. The truck's annual mileage is expected to be 30,000 miles in each of the first four years and 20,000 miles in the fifth year-140,000 miles in total. In deciding which depreciation method to use, Carl Thomas, the general manager, requests a depreciation schedule for each of the depreciation methods (straight-line, units-of-production, and double-declining-balance). Read the requirements Requirement 1. Prepare a depreciation schedule for each depreciation method, showing asset cost, depreciation expense, accumulated depreciation, and asset book value. Begin by preparing a depreciation schedule using the straight-line method. Straight-Line Depreciation Schedule Depreciation for the Year Asset Depreciable Useful Depreciation Accumulated Book Date Cost Cost Life Expense Depreciation Value 1-3-2018 80,000 80,000 12-31-2018 80,000 14,400 14,400 85,600 12-31-2019 65,600 + 14,400 28,800 51,200 12-31-2020 51,200 + 2 x (1/5) 14,400 43,200 36.800 12-31-2021 36,800 14,400 57,600 22,400 5 years x 2 12-31-2022 22,400 - 14,400 72,000 8,000 140,000 miles 5 years Choose from any list or enter any number in the input fields and then click Check Answer. ? P10-31A (similar to) Question Help On January 3, 2018, Swifty Delivery Service purchased a truck at a cost of $80,000. Before placing the truck in service, Swifty spent $2,200 painting it $600 replacing tires, and $9,200 overhauling the engine. The truck should remain in service for five years and have a residual value of $8,000. The truck's annual mileage is expected to be 30,000 miles in each of the first four years and 20,000 miles in the fifth year140,000 miles in total. In deciding which depreciation method to use, Carl Thomas, the general manager, requests a depreciation schedule for each of the depreciation methods (straight-line, units-of-production, and double-declining-balance). Read the requirements. Requirement 1. Prepare a depreciation schedule for each depreciation method, showing asset cost. deoreciation expense accumulated depreciation, and asset book value. Begin by preparing a depreciation schedule us i Requirements X Straight-Line Depreciation Schedule Del Depreciable Asset Date Cost Cost 80,000 1. Prepare a depreciation schedule for each depreciation method, showing asset cost, depreciation expense, accurnulated depreciation, and asset book value. 2. Swifty prepares financial statements using the depreciation method that reports the highest net income in the early years of asset use. Consider the first year that Swifty uses the truck. Identify the depreciation method that meets the company's objectives. 1-3-2018 12-31-2018 80,000 65,600 12-31-2019 12-31-2020 Print Done 51,200 36,800 12-31-2021 5 years = a 74,400 57,000 22,400 12-31-2022 22.400 + 5 years 14,400 72,000 8,000 Choose from any list or enter any number in the input fields and then click Check