50.1K

Verified Solution

Link Copied!

Check my Problem 10-5A Computing and revising depreciation; selling plant assets LO C2, P1, P2 Yoshi Company completed the following transactions and events involving its delivery trucks. Year 1 Jan. 1 Paid $23,515 cash plus $1,785 'in sales tax for a new delivery truek estimated to have a five-year life and $2,150 salvage value. Delivery truck costs are recorded in the Trucks account. Dec. 31 Recorded annual straight-line depreciation on the truck. Year 2 Dec. 31 The truck's estimated useful life was changed from five to four years, and the estimated salvage value was increased to $2,700. Recorded annual straight-line depreciation on the truck. Year 3 Dec. 31 Recorded annual straight-line depreciation on the truck. Dec. 31 Sold the truck for $5,500 cash. Required: 1-a. Calculate depreciation for Year 2. 1-b. Calculate book value and gain (loss) for sale of Truck on December 31, Year 3. 1-c. Prepare journal entries to record these transactions and events. Complete this question by entering your answers in the tabs below. Required IA Required IC Required B Prepare journal entries to record these transactions and events 5 of 6 !!! Journal entry worksheet 2 3 4 Record the total cost of the new delivery truck. Note: Enter debits before credits General Journal Debit Credit Date Jan 01, Year 1 Record entry Clear entry View general journal Required 1B VIUW llallsdULIUNT 1151 Journal entry worksheet 34 Record the year-end adjusting entry for the depreciation expense of the delivery truck. Note: Enter debits before credits. General Journal Debit Credit Date Dec 31, Year 1 Record entry Clear entry View general journal Journal entry worksheet 12 Record the year-end adjusting entry for the depreciation expense of the delivery truck. Note: Enter debits before credits. General Journal Debit Credit Date Dec 31, Year 2 Record entry Clear entry View general journal Journal entry worksheet

Answer & Explanation Solved by verified expert

See Answer