Tokyo Ltd has two types of equipment. The management decided that different depreciation methods should be applied in determining the annual depreciation charges. Information on the equipment is summarised as follows (ignore GST). Cost Equipment Type Date Acquired Residual Value Depreciation Method Depreciation Rate (Annually) 25% 20% A B 1 July 2018 1 January 2021 286 200 130 000 30 000 5 000 Diminishing balance Straight-line Required: (a) Assuming the depreciation is recorded to the nearest month, calculate the depreciation charges for the year ended 30 June 2021. (10 marks) (b) Prepare the journal entries for the year ended 30 June 2021 (4 marks) (c) Explain the factors causing a depreciable asset to have a limited useful life (6 marks) Tokyo Ltd has two types of equipment. The management decided that different depreciation methods should be applied in determining the annual depreciation charges. Information on the equipment is summarised as follows (ignore GST). Cost Equipment Type Date Acquired Residual Value Depreciation Method Depreciation Rate (Annually) 25% 20% A 1 July 2018 1 January 2021 286 200 130 000 30 000 5 000 B Diminishing balance Straight-line Required: (a) Assuming the depreciation is recorded to the nearest month, calculate the depreciation charges for the year ended 30 June 2021. (10 marks) (b) Prepare the journal entries for the year ended 30 June 2021 (4 marks) (c) Explain the factors causing a depreciable asset to have a limited useful life (6 marks)