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PART B- On 31st October 20X2 the Big Prawn Fishing Co Ltd purchased a Prawn Trawler which gave rise to the following general journal entry
PART B- On 31st October 20X2 the Big Prawn Fishing Co Ltd purchased a Prawn Trawler which gave rise to the following general journal entry (narration deleted). Date DR CR 20x2e Prawn Trawlere 1,880,000 Oct 312 Cash at Bank 180,000 Loan Payable 1,700,000 Additional information: Useful life of the Prawn Trawler is 15 years or 66,000 nautical hours. The Reducing Balance depreciation rate = 16.8%pa. and the straight line rate is 6.7%pa. Residual value is $98,000+ The estimated nautical hour's usage in the first five financial years are:- Financial Year ending 30th June nautical hours Number of estimated 20x32 2,900 20x40 4,500 T: 20x5e 20x6 20x7 4,800 4,900 4,950 Complete the depreciation schedules below for the Prawn Trawler for the units of production and reducing balance methods for the year ended 30th June 20X3. Round numbers to the nearest dollar. 4 marks Units of Production Year ended Opening Balance Depreciation Accumulated Closing Balance expense Depreciation Reducing Balance Year ended Opening Balance Closing Balance Depreciation expense Accumulated Depreciation E EL
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