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Problem 5. The account of the JSP Co. appears as shown below at December 31, 2018: 7/15 CR15 $ 300,000 1/1 Balance 3/1 V5 7/1
Problem 5. The account of the JSP Co. appears as shown below at December 31, 2018: 7/15 CR15 $ 300,000 1/1 Balance 3/1 V5 7/1 V8 Motor vehicles + 8,500,000 79,000 654,000 Your examination revealed that + 79,000 represents the 2018 registration fees of JSP's motor vehicles. The charge of P 654,000 represents the invoice price of a new carag-carag car, including a 14,000 comprehensive car insurance premium for one year. The credit of P 300,000 represents the proceeds from the sale of a truck costing * 1,200,000 and had been fully depreciated. Fifty percent (50%) of the beginning balance represents fully depreciated motor vehicles. The Co.'s policy on depreciation is detailed as follows: a. 20% straight-line b. No residual value c. Full in the year of acquisition and none in the year of disposal Compute the following items: 9. 10. 11. The adjusted cost of motor vehicle is Insurance expense in 2018 is Gain on disposal of asset on July 15 is
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