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Plz i want the answers with ditals i have exam i want it in fiel word 1. In recent years, ABC Transportation purchased three used
Plz i want the answers with ditals i have exam i want it in fiel word
1. In recent years, ABC Transportation purchased three used buses. Because of frequent turnover in the accounting department, a different accountant selected the depreciation method for each bus, and various methods were selected. Information concerning the buses is summarized as follows. Bus Acquired Cost Salvage Useful Life Depreciation Value in Years Method 1/1/18 $ 96,000 $ 6,000 5 Straight-line 2 1/1/18 110,000 10,000 4 Declining- balance 1/1/19 92,000 8,000 5 Units-of- activity For the declining-balance method, the company uses the double-declining rate. For the units-of-activity method, total miles are expected to be 120,000. Actual miles of use in the first 3 years were 2019, 24,000; 2020, 34,000; and 2021, 30,000. Instructions A. Compute the amount of accumulated depreciation on each bus at December 31, 2020. B. If Bus 2 was purchased on April 1 instead of January 1, what is the depreciation expense for this bus in (1) 2018 and (2) 2019? 2. A. January 2020 Abdul Company has made a credit sale of Laptop OMR 190,000 to Abeer Company and received a note for 120 days with 12% interest from him in settlement of Account receivables. Abdul Company closes their accounts every year on April 30th. On the due date Abeer Company has paid the full amount to Abdul Company. Based upon the information given you are required to write the necessary journal entries of notes receivable. B. The following data are taken from the comparative balance sheets of Raisa Company. You are required to compute its accounts receivable turnover and Average collection period for the year 2020. 2020 2019 Sales 1,786,190 1,846,100 Accounts receivable 143,200 138,700 Accounts Payable 223,000 243,000 Capital 10,000,000 10,000,000Step by Step Solution
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