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Part B 4 marks On 31st October 20X4. Frasca Freight Transport Ltd purchased a Ford Titan truck which gave rise to the following general journal
Part B 4 marks On 31st October 20X4. Frasca Freight Transport Ltd purchased a Ford Titan truck which gave rise to the following general journal entry (narration deleted). Date- Particulars DR CR 20X4 Truck 725,000 Oct 312 Cash at Bank 116,000 Loan Payable 609,0004 Additional information:- Useful life of the Truck is 10 years or 5.000.000 kilometres. Straight-line depreciation rate = 10.0% p.a. and Reducing Balance depreciation rate = 18% p.a. Residual value is $100.000.- The estimated kilometres to be travelled in the first five financial years are: Financial Year ending 30th June Number of estimated kilometres 20x52 280,000 20X6 380,000 20x7e 400.000 20X8 395,000 20X9 370,000 Complete the depreciation schedules below for the Ford Titan truck for the units of production and reducing balance methods for the year ended 30th June 20X5. Round numbers to the nearest dollar. 4 marks Units of Production Year ended Opening Balance Depreciation expense Accumulated Depreciation Closing Balance GI Reducing Balance Year ended Opening Balance Depreciation expense Closing Balance Accumulated Depreciation
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