Walsh College ACC 506 Practical Accounting Project Part 2 - Depreciation Summer 2021 1) Directions Using the information in item 2 below, answer the questions in item 3. 2) Problem Data Recent historical actual depreciation figures and other information: Actual depreciation expense for the the entire year 2017 was $750,000. Actual depreciation expense for the the entire year 2018 was $675,000. Actual depreciation expense for the the entire year 2019 was $630,000. The company acquired $140,000 in fixed assets in 2020, all are to be depreciated straight-line over seven years. Assume all items acquired in 2020 have no salvage value, were all acquired on 1/1/2020, and a full year of depreciation is taken in Year 1 and Year 5 3) Questions a) What journal entry do you propose Wayne should record each month, January through November, 2020? Explain how you arrived at the amount you did, and show calculations to support your figure. b) Assume Wayne's final actual 2020 depreciation expense, determined in January 2021 is $790,000. What final adjusting journal entry should be recorded in December 2020 to "true-up" depreciation expense recorded for the year? 5) Requirements a) Prepare, in good form, a schedule to support your answer for Questions 3a and 3b. You must prepare your report in Excel. b) Use only Arial 10 font to prepare your response to this assignment. Use only black font, and do not shade any cells. c) Do not use this Excel file to prepare your assignment. Instead, copy the data set above to a worksheet in a new Excel file and complete your assignment there.