Homework Help is Here – Start Your Trial Now!
Business
Accounting
In 2022, Leo construction traded in a light duty pickup truck that had a book value of $18,000. A new pickup truck having a fair market value of $55,236 was acquired. Because the vendor accepted the old truck as a trade-in, a deal was agreed, and Leo construction would only pay $32,405 for the new truck.   Compute the third year depreciation (d3) for the new truck using the general depreciation system method.

In 2022, Leo construction traded in a light duty pickup truck that had a book value of $18,000. A new pickup truck having a fair market value of $55,236 was acquired. Because the vendor accepted the old truck as a trade-in, a deal was agreed, and Leo construction would only pay $32,405 for the new truck.   Compute the third year depreciation (d3) for the new truck using the general depreciation system method.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question

In 2022, Leo construction traded in a light duty pickup truck that had a book value of $18,000. A new pickup truck having a fair market value of $55,236 was acquired. Because the vendor accepted the old truck as a trade-in, a deal was agreed, and Leo construction would only pay $32,405 for the new truck.

 

Compute the third year depreciation (d3) for the new truck using the general depreciation system method.

Clas 0011 Office furniture, and equipment 00.12 Information system computer/periphen 00.22 00.341 00.25 00.40 01.11 01.21 1330 15.00 20.10 22.2 24.10 32.20 37.31 48.11 4K2 49.12 49,13 49.21 50.00 8000 Recovery 1 2 3 4 5 2=212SC2 287 14 20 At Description A tight gicternal gurtgist tracks Road can and com Intial Coton gia Canle, breeding or dairy Offre drilling and electric dis Petuning Construction a Manufacture of grain and grain mill produc Manufacture of yame, thead, and we fab Calling of her Manufacture of cemen Manufacture of whic Telephone commissandings Radio and television broadcasting equipment Electric utility clear production plant Electric vality steam pla Natural gas producti 3-Year 33.33 44.45 14.81 741 Municipal wastewaterplant Theme and amusement packets TABLE 11-3 MACRS Depreciation for Personal Property: Half-Year Convention Applicable Percentage for Property Class 10-Year Property S-Year Property Property 20.00 32.00 19.20 11.52 11.52 5.76 14.29 24.49 17.49 12.49 8.93 8.92 ADR 8.93 4.46 3 10.00 18.00 14,40 11.32 9.22 737 6.55 6.55 GOS ADD 6.55 3.28 7 15 7 5.00 9.50 8.55 7,70 6.93 623 15-Y Property 5.90⁰ 5.90 5.91 gening 5.90 591 5.90 10 591 5.90 591 2.95 24 125 30-Year Property 3.750 7.219 6.677 6.177 5.713 5.285 4.888 4.522 4.461 4.462 4.461 4.462 4.461 4.461 4.462 4.461 4.462 4.461 2.231
Transcribed Image Text:Clas 0011 Office furniture, and equipment 00.12 Information system computer/periphen 00.22 00.341 00.25 00.40 01.11 01.21 1330 15.00 20.10 22.2 24.10 32.20 37.31 48.11 4K2 49.12 49,13 49.21 50.00 8000 Recovery 1 2 3 4 5 2=212SC2 287 14 20 At Description A tight gicternal gurtgist tracks Road can and com Intial Coton gia Canle, breeding or dairy Offre drilling and electric dis Petuning Construction a Manufacture of grain and grain mill produc Manufacture of yame, thead, and we fab Calling of her Manufacture of cemen Manufacture of whic Telephone commissandings Radio and television broadcasting equipment Electric utility clear production plant Electric vality steam pla Natural gas producti 3-Year 33.33 44.45 14.81 741 Municipal wastewaterplant Theme and amusement packets TABLE 11-3 MACRS Depreciation for Personal Property: Half-Year Convention Applicable Percentage for Property Class 10-Year Property S-Year Property Property 20.00 32.00 19.20 11.52 11.52 5.76 14.29 24.49 17.49 12.49 8.93 8.92 ADR 8.93 4.46 3 10.00 18.00 14,40 11.32 9.22 737 6.55 6.55 GOS ADD 6.55 3.28 7 15 7 5.00 9.50 8.55 7,70 6.93 623 15-Y Property 5.90⁰ 5.90 5.91 gening 5.90 591 5.90 10 591 5.90 591 2.95 24 125 30-Year Property 3.750 7.219 6.677 6.177 5.713 5.285 4.888 4.522 4.461 4.462 4.461 4.462 4.461 4.461 4.462 4.461 4.462 4.461 2.231
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Consolidations
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS