Units-of-Production Depreciation Irons Delivery Inc. purchased a new delivery truck for $42,000 on January 1, 2023. The truck is expected to have a $2,000 residual value at the life. Irons uses the units-of-production method of depreciation. Irons expects the truck to run for 150,000 miles. The actual miles driven in 2023 and 36,000, respectively. Required: Prepare the journal entry to record depreciation expense for 2023 and 2024, If an amount box does not require an entry, leave it blank. Do not r calculations. Round your answers to the nearest dollar. 2023 Dec. 31 2024 Dec. 31 Feedback Check My Work Depreciation expense is the depreciation cost per unit multiplied times the actual usage of the asset. The journal entry decreases both assets and stockholders' equity.

Units-of-Production Depreciation Irons Delivery Inc. purchased a new delivery truck for $42,000 on January 1, 2023. The truck is expected to have a $2,000 residual value at the life. Irons uses the units-of-production method of depreciation. Irons expects the truck to run for 150,000 miles. The actual miles driven in 2023 and 36,000, respectively. Required: Prepare the journal entry to record depreciation expense for 2023 and 2024, If an amount box does not require an entry, leave it blank. Do not r calculations. Round your answers to the nearest dollar. 2023 Dec. 31 2024 Dec. 31 Feedback Check My Work Depreciation expense is the depreciation cost per unit multiplied times the actual usage of the asset. The journal entry decreases both assets and stockholders' equity.

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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