Whippet Bus Lines uses the units-of- activity method in depreciating its buses. One bus was purchased on January 1, 2017, at a cost of $128,000. Over its 4-year useful life, the bus is expected to be driven 213,750 miles. The salvage value is expected to be $8,300. Compute the depreciation cost per unit.
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- Montello Inc. purchases a delivery truck for $25,000. The truck has a salvage value of $6,000 and is expected to be driven for 125,000 miles. Montello uses the units-of-production depreciation method, and in year one it expects to use the truck for 26,000 miles. Calculate the annual depreciation expense.Whippet Bus Lines uses the units-of-activity method in depreciating its buses. One bus was purchased on January 1, 2017, at a cost of $131,000. Over its 4-year useful life, the bus is expected to be driven 240,000 miles. Salvage value is expected to be $7,400. Compute the depreciation cost per unit. (Round answer to 3 decimal places, e.g. 6.251) Depreciation cost per unit $4 LINK TO TEXT VIDEO: APPLIED SKILLSS Prepare a depreciation schedule assuming actual mileage was: 2017, 52,400; 2018, 68,120; 2019, 53,710; and 2020, 35,370. (Round depreciation cost per unit to 3 decimal places, e.g. 0.125 and other answers to 0 decimal places, e.g. 125) Computation End of Year Units of Activity x Depreciation Cost/Unit = Annual Depreciation Expense Accumulated Depreciation Years Book Value 2017 2$ $4 $ 2018 2019 2020Whippet Bus Lines uses the units-of-activity method in depreciating its buses. One bus was purchased on January 1, 2017, at a cost of $117,000. Over its 4-year useful life, the bus is expected to be driven 210,000 miles. Salvage value is expected to be $7,800. (a) Compute the depreciation cost per unit. (Round answer to 3 declmal places, e.g. 6.251) Depreciation cost per unit 24 eTextbook and Media Attempts: 0 of 3 used Submit Answer Save for Later
- Please give me answer accounting...ManjiLinton Company purchased a delivery truck for $S34,000 on January 1, 2014. The truck has an expected salvage value of $2,000, and is expected to be driven 100,000 miles over its estimated useful life of 10 years. Actual miles driven were 19,000 in 2014 and 16,000 in 2015. Instructions a) Compute depreciation expense for 2014 and 2015 using (1) the straight-line method and (2) the units-of-activity method (b) Assume that Linton uses the straight-line method, Prepare the journal entry to record 2014 depreciation.
- Metlock, Inc. purchased a delivery truck for $30,000 on January 1, 2022. The truck has an expected salvage value of $3,000, and is expected to be driven 100,000 miles over its estimated useful life of 8 years. Actual miles driven were 15,400 in 2022 and 12,500 in 2023. Calculate depreciable cost per mile under units-of-activity method.Splish Brothers Inc. purchased a delivery truck for $47,000 on January 1, 2022. The truck has an expected salvage value of $12,000, and is expected to be driven 100,000 miles over its estimated useful life of 10 years. Actual miles driven were 15,500 in 2022 and 14,700 in 2023. Calculate depreciable cost per mile under units-of-activity method.Fabian WoodworksThis company purchased a truck at a cost of $12,000. The truck has an estimated residual value of $2,000 and an estimated life of 5 years, or 100,000 hours of operation. The truck was purchased on January 1, 2012, and was used 27,000 hours in 2012 and 26,000 hours in 2013.Refer to Fabian Woodworks. If the company uses the units-of-production method, what is the depreciation rate per hour for the equipment? a. $1.00 b. $1.10 c. $0.10 d. $0.12
- Xanadu Company purchased a new machine on October 1, 2014, at a cost ofTk.96,000. The company estimated that the machine will have a residual value of Tk.12,000.Themachine is expected to be used for 10,000 working hours during its 5-year life.Requirements:Compute the depreciation expense under the following methods for the year indicated.(a) Straight-line for 2014.(b) Units-of-activity for 2014, assuming machine usage was 1,700 hours.(c) Declining-balance using double the straight-line rate for 2014 and 2015.Promise Trucking Corporation uses the units-of-production depreciation method because units-of-production best measures wear and tear on the trucks. Consider these facts about one Mack truck in the company's fleet. data facts: When acquired in 2015, the rig cost $370,000and was expected to remain in service for 10 years or 1,000,000 miles. Estimated residual value was $140,000. The truck was driven 85,000 miles in 2015, 125,000miles in 2016, and 165,000 miles in 2017.After 40,000 miles, on March 15, 2018, the company traded in the Mack truck for a less expensive Freightliner. Promise also paid cash of $28,000.Fair market value of the Mack truck was equal to its net book value on the date of the trade. Requirements: 1. Record the journal entry for depreciation expense in 2018. 2. Determine Promise's cost of the new truck. 3. Record the journal entry for the exchange of assets on MarchMarch 15, 2018. Assume the exchange had commercial substance.On January 2, 2011, Jansing Corporation acquired a new machine with an estimated useful life of five years. The cost of the equipment was $40,000 with a residual value of $5,000. Prepare a complete depreciation table under the two depreciation methods listed below. Straight-line. 200 percent declining-balance. 150 percent declining-balance with a switch to straight-line when it will maximize depreciation expense.