Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Problem 10-02A al-b In recent years, Pronghorn Transportation purchased three used buses. Because of frequent turnover in the accounting department, bus, and various methods were
Problem 10-02A al-b In recent years, Pronghorn Transportation purchased three used buses. Because of frequent turnover in the accounting department, bus, and various methods were selected. Information concerning the buses is summarized as follows. different accountant selected the depreciation method for each Useful Life In Years Bus Cost 1 Z 4 Acquired 1/1/18 1/1/18 1/1/19 Salvage Value $5,000 10,500 8,000 $ 97,600 115,000 94,800 Depreciation Method Straight-line Declining-balance Units-of-activity 4 3 5 For the declining-balance method, the company uses the double-declining rate. For the units-of-activity method, total miles are expected to be 124,000. Actual miles of use in the first 3 years were 2019, 27,500; 2020, 33,000; and 2021, 29,500. For Bus #3, calculate depreciation expense per mile under units-of-activity method. (Round answer to 2 decimal places, e.g. 0.50.) Depreciation expenses .70 per mile LINK TO TEXT Compute the amount of accumulated depreciation on each bus at December 31, 2020. (Round answers to O decimal places, e.g. 2, 125.) Accumulated depreciation BUS 1 69,450 BUS 2 78,375 BUS 3 Compute the amount of accumulated depreciation on each bus at December 31, 2020. (Round answers to O decimal places, e.g. 2,125.) Accumulated depreciation BUS 1 69,450 BUS 2 78,375 BUS 3 LINK TO TEXT If Bus 2 was purchased on April 1 instead of January what is the depreciation expense for this bus in (1) 2018 and (2) 2019? (Round answers to 0 decimal places, e.g. 2,125.) (1) 2018 (2) 2019 Depreciation expenses Click if you would like to Show Work for this question: Open Show Work LINK TO TEXT Question Attempts: 0 of 3 used
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started