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Yoshi Company completed the following transactions and events Involving its delivery trucks. Year 1 January 1 Paid $23,515 cash plus $1,785 in sales tax for
Yoshi Company completed the following transactions and events Involving its delivery trucks. Year 1 January 1 Paid \$23,515 cash plus \$1,785 in sales tax for a new delivery truck estimated to have a five-year 1ife and a $2,300 salvage value. Delivery truck costs are recorded in the Trucks account. December 31 Recorded annual straight-1ine depreciation on the truck. Year 2 December 31 The truck's estinated useful life was changed fron five to four year's, and the estinated salvage value was increased to $2,850. Recorded annual straight-1ine depreciation on the truck. Year 3 December 31 Recorded annual straight-line depreciation on the truck. December 31 sold the truck for $5,400 cash. Required: 1-a. Calculate depreclation for Year 2. 1-b. Calculate book value and gain (loss) for sale of Truck on December 31, Year 3. 1-c. Prepare journal entries to record these transactions and events. Complete this question by entering your answers in the tabs below. Calculate depreciation for Year 2
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