Question 1 2 company A purchased a vehicle for $71,000 on Jul 1 2014, their year end is jun 30th 3. It will have a residual value of $11,000 and a useful life of 5 years 5 a) using the straight line method, create the entries for depreciation for the first and third years. (2 DIFFERENT ENTRIES 3 Date Description DR CR 3 0 1 2 3 4 5 6 7 8 b) using the straight line method, what is the next book value of the assets at the end of year 3 9 Year 3 0 vehicle 1 Acc. Depreciation vehicle 2 Net book value 3 4.) For the same piece of equipment listed above, use the double declining balance method to fill out the table below 5 6 useful life - 5 years 7 depreciation rate per year - 8 double depreciation rate - 9 0 Year openin balance Deprectision expense Acc. To dat NBV -1 1 2 2 3 3 4 5 5 6 7 8 9 1 (remember se adjust last year so that NBV - orginial cost - residual) 2 d) using the information above create the journal entry for year 2 and year 4 to record depreciation 3 Date Description DR CR 4 year 2 -5 6 7 -8 year 4 -9 0 1 2 3 4 5 6