Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Problem 9-2A (Part Level Submission) In recent years, Skysong Transportation purchased three used buses. Because of frequent turnover in the accounting department, a different accountant

Problem 9-2A (Part Level Submission) In recent years, Skysong 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 shown as follows.

image text in transcribed

image text in transcribedimage text in transcribed

Bus Acquired 1/1/17 1/1/17 1/1/18 1 Cost $ 95,800 130,000 83,660 Salvage Value $ 7,000 10,500 7,500 Useful Life in Years 5 4 Depreciation Method Straight-line Declining-balance Units-of-activity 2 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 112,000. Actual miles of use in the first 3 years were 2018, 24,500; 2019, 36,000; and 2020, 32,500. (al) Your answer is correct. For Bus #3, calculate depreciable cost per mile under units-of-activity method. (Round answer to 2 decimal places, e.g. 0.50.) Depreciable cost 0.68 per mile SHOW SOLUTION SHOW ANSWER LINK TO TEXT VIDEO: SIMILAR PROBLEM (a2) Compute the amount of accumulated depreciation on each bus at December 31, 2019. (Round depreciable cost per unit to 2 decimal places, e.g. 0.50 and depreciation rate to 0 decimal places, e.g. 15%. Round final answers to 0 decimal places, e.g. 2,125.) Accumulated depreciation BUS 1 $ 17760 BUS 2 $ BUS 3 $ Attempts: 0 of 3 used

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Home Energy Audit Your Guide To Understanding And Reducing Your Home Energy Costs

Authors: Richard Montgomery

1st Edition

0471864668, 978-0471864660

More Books

Students also viewed these Accounting questions

Question

Describe posttraumatic stress disorder.

Answered: 1 week ago