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Problem 4 (2 marks): In recent years, Mekong Carrier purchased three used buses. Because of frequent turnover in the accounting department, a different accountant
Problem 4 (2 marks): In recent years, Mekong Carrier 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 below. Bus Acquired Cost Salvage Value Useful Life Depreciation Method in Years 1 01/01/2010 2 01/01/2010 $ 96,000 120,000 $ 6,000 5 Straight-line 10,000 4 3 01/01/2011 80,000 8,000 5 Declining-balance Units-of-activity 3
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