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Please help me answer all the questions, Thank you! Yoshi Company completed the following transactions and events involving its delivery trucks. 2014 Jan. 1 Paid
Please help me answer all the questions, Thank you!
Yoshi Company completed the following transactions and events involving its delivery trucks. 2014 Jan. 1 Paid $23,515 cash plus $1,485 in sales tax for a new delivery truck estimated to have a five-year life and a $2,150 salvage value. Delivery truck costs are recorded in the Trucks account. Dec. 31 Recorded annual straight-line depreciation on the truck. 2015 Dec. 31 Due to new information obtained earlier in the year, the truck's estimated useful life was changed from five to four years, and the estimated salvage value was increased to $2,550. Recorded annual straight-line depreciation on the truck. 2016 Dec. 31 Recorded annual straight-line depreciation on the truck. Dec. 31 Sold the truck for $5,300 cash. Required: Calculate depreciation for year 2015. Total cost Less accumulated depreciation (from 2014) Book value Less revised salvage value Remaining cost to be depreciated Years of life remaining Total depreciation for 2015 Calculate book value and gain (loss) for sale of Truck on December, 2016. Depreciation expense (for 2014) Depreciation expense (for 2015) Depreciation expense (for 2016) Accumulated Depreciation 12/31/2016 Book value of truck at 12/31/2016 0 Total cost Accumulated depreciation Book value 12/31/2016 Prepare journal entries to record these transactions and events. View transaction list 1 Record the total cost of the new delivery truck. 2 Record the year-end adjusting entry for the depreciation expense of the delivery truck. 3 Record the year-end adjusting entry for the depreciation expense of the delivery truck. 4 Record the year-end adjusting entry for the depreciation expense of the delivery truck. 5 Record the sale of the delivery truck for $5,300 cashStep by Step Solution
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