please provide solution of this general accounting Question Yello Bus Lines uses the units-of-activity method indepreciating its buses. One bus was purchased on January 1,2017, at a cost of $195,380. Over its 5-year useful life, the busis expected to be driven 133,700 miles. Salvage value isexpected to be $8,200. Compute the depreciable cost perunit. (Round the answer to 2 decimal places.)

Step 1: Define DepreciationDepreciation is a non-cash expense charged to the income statement. There…

Answered: Yello Bus Lines uses the…

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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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 2020
Yello Bus Lines uses the units-of-activity method in depreciating its buses. One bus was purchased on January 1, 2020, at a cost of $299,818. Over its 4-year useful life, the bus is expected to be driven 190,600 miles. Salvage value is expected to be $8,200. (a) X Your answer is incorrect. Compute the depreciable cost per unit. (Round answer to 2 decimal places, e.g. 0.50.) Depreciation cost per unit LA $ 1.40 per mile
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.
Cheyenne Corp. purchased a delivery truck for $42,000 on January 1, 2022. The truck has an expected salvage value of $9,000, and is expected to be driven 100,000 miles over its estimated useful life of 8 years. Actual miles driven were 15,600 in 2022 and 10,000 in 2023. Calculate depreciable cost per mile under units-of-activity method.
Wardell Company purchased a minicomputer on January 1, 2013, at a cost of $50,000. The computer was depreciated using the straight-line method over an estimated seven-year life with an estimated residual value of $4,000. On January 1, 2016, the estimate of useful life was changed to a total of 11 years, and the estimate of residual value was changed to $800. Question Journal entries to record depreciation for 2016 would include: Debit to Depreciation Expense - Computers of $7,143 Credit to Accumulated Depreciation - Computers of $3,686 Debit to Accumulated Depreciation - Computers of $6,571 Debit to Depreciation Expense - Computers of $4,707
Wardell Company purchased a minicomputer on January 1, 2013, at a cost of $50,000. The computer was depreciated using the sum-of-the-years'-digits method over an estimated seven-year life with an estimated residual value of $4,000. On January 1, 2016, the estimate of useful life was changed to a total of 11 years, and the estimate of residual value was changed to $800. Question Depreciation for 2016 would be: $4,362 $7,714 $3,790 $5,790
Wenner Furnace corp. purchased machinery for $279,000 on may 1, 2012. it is estimated that it will have a useful life of 10 years , salvage value of $15,000, production of 240,000units, and working hours of 25,000 units. During 2013, wenner corp. uses the machinery for 2,650 hours, and the machinery produces 25,000 units. Compute the depriciation charge for 2013 under each of the following methods A) Straight line B) Units-of-output C) working hour D) Sum of the years digit E)Double declining balance
Maserati Corporation purchased a new machine for its assembly process on August 1, 2014. The cost of this machine was $150,000. The company estimated that the machine would have a salvage value of $24,000 at the end of its service life. Its life is estimated at 5 years and its working hours are estimated at 21,000 hours. Year- end is December 31. Instructions: Compute the depreciation expense under the following methods. (a) Straight-line depreciation. Sum-of-the-Years'-Digits Method Double-Declining Balance Method
Wan Company purchased a new machine on October 1, 2017, at a cost of $100,000. The company estimated that the machine has a salvage value of $4,000. The machine is expected to be used for 8-years. Instructions Compute the depreciationexpense under the straight-line method for 2017 and 2018, assuming a December 31 year-end (use comma in numbers, one thousand is 1,000, not 1000. NO decimal point, NO $ sign):
Star Company purchased a computer on January 2, 2012, at a cost of $2,500. The computer is expected to have a useful life of five years and a residual value of $250. Assume that the computer is disposed of on July 1, 2015. Using the straight line method, record the depreciation expense for half a year and the disposal under each of the following assumptions: 1. The computer is discarded. 2. The computer is sold for $400. 3. The computer is sold for $1,100
Trans-State Movers purchased a truck on January 1, 2016, for $51,375. At the time of purchase, the truck was estimated to have a useful life of 6 years and a residual value of $3,375. In 2017, Trans-State determined that the truck had a total useful life of 10 years and the residual value is unchanged. If Trans-State uses the straight-line method of depreciation, what will be the 2017 depreciation expense for the truck? a.$8,000 b.$4,732 c.$6,625 d.$4,444
On January 1, 2014, ABC Company purchased a machine for P504,000 that was placed in service on March 1, 2014. Additional cost incurred to bring the asset to its location and prepare for its intended use were: shipping, P4,000 and installation and testing cost, P6,000. The estimated useful life of the asset was 10 years and has an estimated salvage value of P34,000. What amount of depreciation should be recognized for the year ended December 31, 2014?

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