Robert was driving back to the office from his off-site construction job on Friday. He had put in a long week and just wanted to go home. But a text from John back in the office reminded him to enter his weekly mileage-the accountants needed to finish the company's total fleet expenses for its quarterly income statement-and the performance evaluation meeting was on Monday. Robert was frustrated that his weekend was now going to be delayed because of this data entry business. He wondered why John couldn't just use the fuel cost for the income statement. In the end, Robert complied with John's request and input his mileage information. Robert's mileage was added to the other vehicles' mileage information, with the quarterly totals listed below. Total fleet expenses on the income statement are a combination of the five costs shown here. Q1 Q2 Q3 Q4 Vehicle Insurance $1,800 1,800 1,800 1,800 Registration Fees $1,200 1,200 1,200 1,200 Fuel $2,340 2,610 2,250 2,790 Depreciation (Shed & Vehicles) $5,300 5,300 5,300 5,300 Vehicle Maintenance Miles Driven 26,000 29,000 25,000 2,842 31,000 $2,522 2,552 2,350

Robert was driving back to the office from his off-site construction job on Friday. He had put in a long week and just wanted to go home. But a text from John back in the office reminded him to enter his weekly mileage-the accountants needed to finish the company's total fleet expenses for its quarterly income statement-and the performance evaluation meeting was on Monday. Robert was frustrated that his weekend was now going to be delayed because of this data entry business. He wondered why John couldn't just use the fuel cost for the income statement. In the end, Robert complied with John's request and input his mileage information. Robert's mileage was added to the other vehicles' mileage information, with the quarterly totals listed below. Total fleet expenses on the income statement are a combination of the five costs shown here. Q1 Q2 Q3 Q4 Vehicle Insurance $1,800 1,800 1,800 1,800 Registration Fees $1,200 1,200 1,200 1,200 Fuel $2,340 2,610 2,250 2,790 Depreciation (Shed & Vehicles) $5,300 5,300 5,300 5,300 Vehicle Maintenance Miles Driven 26,000 29,000 25,000 2,842 31,000 $2,522 2,552 2,350

Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter2: Financial Statements And The Annual Report

Section: Chapter Questions

Problem 2.1P: Materiality Joseph Knapp, a newly hired accountant wanting to impress his boss, stayed late one...

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