Prior to adjustment at the end of the year, the balance in Trucks is $298,988 and...

Prior to adjustment at the end of the year, the balance in Trucks is $298,988 and the balance in Accumulated Depreciation—Trucks is $101,200. Details of the subsidiary ledger are as follows:

		Estimated		Accumulated Depreciation at	Miles Operated
Truck No.	Cost	Residual Value	Useful Life	Beginning of Year	During Year
1	$85,360	$14,940	251,500 miles	—	20,400 miles
2	51,100	6,040	300,400 miles	$14,930	32,500 miles
3	76,450	13,830	202,000 miles	61,330	8,100 miles
4	86,078	22,520	235,400 miles	24,940	22,300 miles

A.	Determine the depreciation rates per mile and the amount to be credited to the accumulated depreciation section of each of the subsidiary accounts for the miles operated during the current year.
B.	Journalize the entry on Dec. 31 to record depreciation for the year. Refer to the Chart of Accounts for exact wording of account titles.

A. Determine the depreciation rates per mile and the amount to be credited to the accumulated depreciation section of each of the subsidiary accounts for the miles operated during the current year.

**Only need help with credit accumulated depreciation**

Truck No.	Rate per Mile	Miles Operated	Credit to Accumulated Depreciation
1	0.28	20,400	5712
2	0.15	32,500	4875
3	0.31	8,100	?????
4	0.27	22,300	6021
Total

B. Journalize the entry on Dec. 31 to record depreciation for the year. Refer to the Chart of Accounts for exact wording of account titles.

Expert Solution

Truck no.	Cost	Residual value	Depreciable value	Useful Life in Miles	Rate per Mile	During the year Miles	Depreciation for the Year	Accumulated Depreciation - Opening	Accumulated Depreciation - Closing
1	85,360	14,940	70,420	251,500	0.28	20,400	5,712	-	5,712
2	51,100	6,040	45,060	300,400	0.15	32,500	4,875	14,930	19,805
3	76,450	13,830	62,620	202,000	0.31	8,100	2,511	61,330	63,841
4	86,078	22,520	63,558	235,400	0.27	22,300	6,021	24,940	30,961
							19,119	101,200	120,319

We will charged normal Depreciation in relation to truck number 3.

Residual value is estimated value use for charging depreciation per mile. We have to check Accumulated depreciation will not exceed the cost of assets. Although after charging depreciation remaining book amount of assets can be lower than residual value.

Accounting Entry:

Accounts Title	Debit	Credit
Depreciation Expense	19,119
Accumulated Depreciation		19,119

ekkarill92 answered 1 year ago

Prior to adjustment at the end of the year, the balance in Trucks is $302,210 and...

Prior to adjustment at the end of the year, the balance in Trucks is $302,210 and the balance in Accumulated Depreciation—Trucks is $100,920. Details of the subsidiary ledger are as follows: Estimated Accumulated Depreciation at Miles Operated Truck No. Cost Residual Value Useful Life Beginning of Year During Year 1 $83,960 $15,360 245,000 miles — 20,600 miles 2 51,050 5,930 300,800 miles $14,700 33,800 miles 3 77,486 12,910 201,800 miles 62,180 8,100 miles 4 89,714 22,010 241,800 miles 24,040 22,500...

Prior to adjustment at the end of the year, the balance in Trucks is $301,820 and...

Prior to adjustment at the end of the year, the balance in Trucks is $301,820 and the balance in Accumulated Depreciation—Trucks is $102,720. Details of the subsidiary ledger are as follows: Estimated Accumulated Depreciation at Miles Operated Truck No. Cost Residual Value Useful Life Beginning of Year During Year 1 $80,950 $14,800 245,000 miles — 20,200 2 59,800 5,800 300,000 miles $14,730 32,600 3 75,620 13,000 202,000 miles 62,060 7,700 4 85,450 22,000 235,000 miles 25,930 22,300 A. Determine the...

Depreciation by units-of-activity Method Prior to adjustment at the end of the year, the balance in...

Depreciation by units-of-activity Method Prior to adjustment at the end of the year, the balance in Trucks is $419,400 and the balance in Accumulated Depreciation—Trucks is $124,880. Details of the subsidiary ledger are as follows: Truck No. Cost Estimated Residual Value Estimated Useful Life Accumulated Depreciation at Beginning of Year Miles Operated During Year 1 $83,000 $12,450 220,000 miles — 33,000 miles 2 115,400 13,848 280,000 $23,080 28,000 3 96,000 13,440 200,000 $76,800 20,000 4 125,000 15,000 420,000 $25,000 50,400...

Prior to adjustment at April 30, the end of the fiscal year, Salary Expense has a...

Prior to adjustment at April 30, the end of the fiscal year, Salary Expense has a debit balance of $372,750. Salaries owed but not paid as of the same date total $5,275. On May 2, $6,000 is paid. Present all necessary entries assuming a reversing entry is used. Present all necessary entries assuming NO reversing entry is used.

The balance in the prepaid insurance account, before adjustment at the end of the year, is...

The balance in the prepaid insurance account, before adjustment at the end of the year, is $27,000. Journalize the adjusting entry required under each of the following alternatives for determining the amount of the adjustment: a. The amount of insurance expired during the year is $20,250. * Insurance expense = $20,250 * Prepaid Insurance = ? b. The amount of unexpired insurance applicable to future periods is $6,750. * Insurance expense = ? * Prepaid Insurance = $20,250

The balance in Unearned Revenues prior to adjustment was $3,650. If the amount still unearned as...

The balance in Unearned Revenues prior to adjustment was $3,650. If the amount still unearned as of the end of the period is $1,900?, the adjusting entry needed would be? to: A. debit Unearned Service? Revenue, $1,750?; credit Service? Revenue, $1,750. B. debit? Cash, $3,650?; credit Unearned Service? Revenue, $3,650. C. debit Service? Revenue, $1,750?; credit Unearned Service? Revenue, $1,750. D. debit Unearned Service? Revenue, $1,900?; credit Service? Revenue, $1,900. Of the? following, which is NOT classified as an investing...

Flyer Company has provided the following information prior to any year-end bad debt adjustment: Cash sales,...

Flyer Company has provided the following information prior to any year-end bad debt adjustment: Cash sales, $168,000 Credit sales, $468,000 Selling and administrative expenses, $128,000 Sales returns and allowances, $48,000 Gross profit, $508,000 Accounts receivable, $285,000 Sales discounts, $32,000 Allowance for doubtful accounts credit balance, $3,000 Flyer prepares an aging of accounts receivable and the result shows that 3% of accounts receivable is estimated to be uncollectible. What is the balance in the allowance for doubtful accounts after bad debt...

At the end of the year, Breyer Associates had a credit balance in its allowance for uncollectible accounts of $9,000 before adjustment

At the end of the year, Breyer Associates had a credit balance in its allowance for uncollectible accounts of $9,000 before adjustment. The balance in Breyer's gross accounts receivable is $660,000. Breyer's management estimates that 6% of its accounts receivable balance will not be collected. What journal entry should Breyer record to adjust its allowance for uncollectible accounts? (if no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

If an adjustment for accrued wages is not made at the year end, the net profit...

If an adjustment for accrued wages is not made at the year end, the net profit will be: Group of answer choices overstated. understated. all of the above. unaffected. unable to determine.

The balance in Allowance for Doubtful Accounts will directly impact the end-of-period adjustment for the bad...

The balance in Allowance for Doubtful Accounts will directly impact the end-of-period adjustment for the bad debt expense when using which of the following methods? direct write-off method allowance method based on aging the receivables accrual method declining value method Indications that an account may be uncollectible include all of the following except the customer files for bankruptcy the customer is making small but regular payments the customer closes its business the customer cannot be located The operating expense recorded...

Question