rior to adjustment at the end of the year, the balance in Trucks is $423,500 and the balance in Accumulated Depreciation-Trucks is $127,800. Detalls of the subsidiary ledger are as follows: Accumulated MIles Estimated Estimated Depreclation Operated Truck Residual Useful at Beginning During No. Cost Value Life of Year Year $86,000 $12,900 220,000 miles 33,000 miles 2 114,500 13,740 240,000 $22,900 24,000 100,500 14,070 216,000 80,400 21,600 4. 122,500 14,700 410,000 24,500 49,200 a. Determine for each truck the depreciation rate per mile and the amount to be credited to the accumulated depreciation section of each subsidiary account for the miles operated during the current year. Keep in mind that the depreciation taken cannot reduce the book value of the truck below its residual value. Round the rate per mile to two decimal places. Credit to Rate per MIle MIles Accumulated Truck No. (In cents) Operated Depreclation 1. 33,000 24,000 21,600 49,200 Total

rior to adjustment at the end of the year, the balance in Trucks is $423,500 and the balance in Accumulated Depreciation-Trucks is $127,800. Detalls of the subsidiary ledger are as follows: Accumulated MIles Estimated Estimated Depreclation Operated Truck Residual Useful at Beginning During No. Cost Value Life of Year Year $86,000 $12,900 220,000 miles 33,000 miles 2 114,500 13,740 240,000 $22,900 24,000 100,500 14,070 216,000 80,400 21,600 4. 122,500 14,700 410,000 24,500 49,200 a. Determine for each truck the depreciation rate per mile and the amount to be credited to the accumulated depreciation section of each subsidiary account for the miles operated during the current year. Keep in mind that the depreciation taken cannot reduce the book value of the truck below its residual value. Round the rate per mile to two decimal places. Credit to Rate per MIle MIles Accumulated Truck No. (In cents) Operated Depreclation 1. 33,000 24,000 21,600 49,200 Total

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter4: The Adjustment Process

Section: Chapter Questions

Problem 7PA: Using the following information: A. make the December 31 adjusting journal entry for depreciation B....

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