we Insert Insert Draw Page Layout Formulas Data Review View X Tell me Calibri (Body 11 A A Paste 23 wrap Text A Merge & Center 821 Xfx A B D E G H 1 4 CHERYLL'S FURNITURE COMPANY 5 For the Year Ended December 31, 2020 6 Asset Acquisition 7 The following Assets were acquired on January 1, 2020 by Cheryl's Furniture Company during the current year: 8 9 Estimated Estimated 10 Useful Salvage 11 ASSET Life - TOTAL COST Value 12 Computer System 5 Years $115,000 $12,500 13 Manufacturing Equipment 6 Years 300,000 30,000 14 Delivery Truck 4 Years 55,000 7,500 15 Total $470,000 16 17 Estimated Useful Life In Activity as follows 18 Computer System 100.000 Hours 19 Manufacturing Equipment 20,000 Hours 20 Delivery Truck 200.000 Miles 21 22 REQUIRED 23 1. Calculate Depreciation Expense for the first three (3) years for each Asset Using the following Depreciation Methods 24 (a) STRAIGHT-LINE METHOD 25 (b) DOUBLE DECLINING-BALANCE METHOD 26 (c) ACTIVITY-BASED (UNITS OF PRODUCTION) METHOD 22 ASSET ACTIVITY 28 Computer System Year 1 - 12,000 Hours: Year 2 - 16,000 Hours: Year 3 -20,000 Hours 29 Manufacturing Equipment Year 12.400 Hours: Year 2-3,200 Hours: Year 34,800 Hours 30 Delivery Track Year 1-68.400 Miles: Year 2-83.200 Miles: Year 3 - 48.800 Miles 31 32 2. Make the Year End Journal Entry (Adjusting Entry) for Year 1 only for each of the three (3) Depreciation Methods 33 (One (1) Single Journal Entry Only For Each Depreciation Method) 34 DEPRECATION FACTS DEPRECIATION TEMPLATE DEPROTONJE TEMPLATE + esc at FE Home bert Page Layout Formulas ACCOUNTING-213-DEPRECATION ASSIGNMENT View Telle Review Cibody . A AL for the ended December 12, 2010 C E -- ACCOUNTING 2013 ANGAL ACCOUNTING DOCATION CALCULATIONS CHERYLL'S FURNITURE COMPANY 1 Martin Delen Track STRAIGHT UNE METHOD VARI YA 1 YEAR 12 1 14 DOUBLE BEGINNS BALANCE METHOD 16 YEARS 19 > ACTIVITY BASED ONTSOODUCTION TO 1 YEART 1 YEAR 2 23 YEARS 34 10 30 1 BE . 2 5 6 7 8 W E R T S GS Z C B N M Home Insert ING Draw Page Layout Formulas Data Review View Tell me Calibri (Body) 11 A A Paste BIU 29 Wrap Text ov Av Merge & Center A14 . E 1 fx 'December 31, 2020 CEFGHII KLMNOPQRSTUVWXY CHERYLL'S FURNITURE COMPANY GENERAL JOURNAL For The Year Ended December 31, 2020 2 2 3 Accounts/Description STRAIGHT UNE DEPRECIATION Debits Credits 4 Date 5 5 7 December 31, 2020 8 9 10 Depreciation Expense Accumulated Depreciation DOUBLE DECLINING BALANCE DEPRECIATION Depreciation Expense Accumulated Depreciation 12 13 14 December 31, 2020 15 15 17 18 19 20 21 December 31, 2020 22 ACTIVITY BASED UNITS OF PRODUCTION DEPRECIATION Depreciation Expense Accumulated Depreciation 25 26 23 29 20 31 32 33 34 26 22 38 19 40 41 42 DEPRECATION FACTS DEPRECIATION TEMPLATE DEPRECIATION-JE TEMPLATE
