Ingot Land Company owns four trucks dedicated primarily to its landfill business. The company's accounting record indicates the following:Determine the amount of depreciation for each truck during the year. TruckDDescriptlonPurchase costSalvage valueUseful life (miles)Accumulated depreciationas year beginsMiles driven during year$50,000$25,000$18,500$35,600$5,000$2,500$1,500$3,500200,000120,000100,000200,000$0$1,500$8,925$24,07525,00012,00015,00020,000

Calculation of the amount of depreciation for Truck A is as follows: Depreciation=Usage of…

Truck D Descriptlon Purchase cost Salvage value Useful life (miles) Accumulated depreciation as year begins Miles driven during year $50,000 $25,000 $18,500 $35,600 $5,000 $2,500 $1,500 $3,500 200,000 120,000 100,000 200,000 $0 $1,500 $8,925 $24,075 25,000 12,000 15,000 20,000

Truck D Descriptlon Purchase cost Salvage value Useful life (miles) Accumulated depreciation as year begins Miles driven during year $50,000 $25,000 $18,500 $35,600 $5,000 $2,500 $1,500 $3,500 200,000 120,000 100,000 200,000 $0 $1,500 $8,925 $24,075 25,000 12,000 15,000 20,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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