Question
Yoshi Company completed the following transactions and events involving its delivery trucks. 2014 Jan. 1 Paid $22,015 cash plus $1,785 in sales tax for a
Yoshi Company completed the following transactions and events involving its delivery trucks. |
2014 | ||
Jan. | 1 | Paid $22,015 cash plus $1,785 in sales tax for a new delivery truck estimated to have a five-year life and a $2,150 salvage value. Delivery truck costs are recorded in the Trucks account. |
Dec. | 31 | Recorded annual straight-line depreciation on the truck. |
2015 | ||
Dec. | 31 | Due to new information obtained earlier in the year, the trucks estimated useful life was changed from five to four years, and the estimated salvage value was increased to $2,550. Recorded annual straight-line depreciation on the truck. |
2016 | ||
Dec. | 31 | Recorded annual straight-line depreciation on the truck. |
Dec. | 31 | Sold the truck for $5,500 cash. |
Required: |
Calculate depreciation for year 2015. |
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Journal Entry Worksheet
Record the total cost of the new delivery truck.
Record the year-end adjusting entry for the depreciation expense of the delivery truck.
Record the year-end adjusting entry for the depreciation expense of the delivery truck.
Record the year-end adjusting entry for the depreciation expense of the delivery truck.
Record the sale of the delivery truck for $5,500 cash.
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