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Check my work Exercise 8-11A (Algo) Events related to the acquisition, use, and disposal...

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Accounting

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Exercise 8-11A (Algo) Events related to the acquisition, use, and disposal of a tangible plant asset: Straight-line depreciation LO 8-2,8-5
City Taxi Service purchased a new auto to use as a taxi on January 1, Year 1, for $23,800. In addition, City paid sales tax and title fees of $640 for the vehicle. The taxi is expected to have a five-year life and a salvage value of $6,300.
Required:
eBook
a. Using the straight-line method, compute the depreciation expense for Year 1 and Year 2.
Hint , Note: Round your answers to the nearest whole dollar amount.
Print
b. Assume the auto was sold on January 1, Year 3, for $19,762. Determine the amount of gain or loss that would be recognized on the asset disposal.
Note: Round the intermediate calculations to nearest whole dollar amount.
\table[[a.,Year 1 Depreciation,,per year],[a.,Year 2 Depreciation,,per year],[b.,,on sale,]]
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