X company purchased 3 trucks on January 1,2019 as following:Useful lifeSalvage ValueDepreciation MethodCost15Double Declining (DDM)Truck 1$20000$0$5000Straight Line (SLM)Truck 2$2500015$30000Units of Activity (UAM)Truck 315Book Value (BV) in year 3 for Truck 2 ?Answer:

Evey fixed asset loses out their value over the period of time. Depreciation is recorded in books of…

X company purchased 3 trucks on January 1,2019 as following: Useful life Salvage Value Depreciation Method Cost $20000 Double Declining (DDM) Truck 1 Truck 2 $25000 $5000 Straight Line (SLM) Truck 3 $30000 $0 Units of Activity (UAM) Book Value (BV) in year 3 for Truck 2? Answer: 5.

X company purchased 3 trucks on January 1,2019 as following: Useful life Salvage Value Depreciation Method Cost $20000 Double Declining (DDM) Truck 1 Truck 2 $25000 $5000 Straight Line (SLM) Truck 3 $30000 $0 Units of Activity (UAM) Book Value (BV) in year 3 for Truck 2? Answer: 5.

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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Question

X company purchased 3 trucks on January 1,2019 as following:
Useful life
Salvage Value
Depreciation Method
Cost
15
Double Declining (DDM)
Truck 1
$20000
$0
$5000
Straight Line (SLM)
Truck 2
$25000
15
$30000
Units of Activity (UAM)
Truck 3
15
Book Value (BV) in year 3 for Truck 2 ?
Answer:

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