ACC 280 E10-7 Brainiac Company purchased a delivery truck for $30,000 on January 1, 2008.The XACC 280 E10-7 Brainiac Company purchased a delivery truck for $30,000 on January 1, 2008.The
Principles of Accounting: Weygandt, J. J., Kimmel, P. D., & Kieso, D. E. (2008). Financial Accounting (6th ed.). Hoboken, NJ: Wiley.
Axia College of University of Phoenix (UoP)
Homework help in ACC 280 E10-7 Brainiac Company
Homework tutorial of ACC 280 E10-7 Brainiac Company
Homework solution of XACC 280 E10-7 Brainiac Company CLICK HERE FOR SOLUTION
E10-7 Brainiac Company purchased a delivery truck for $30,000 on January 1, 2008.The truck has an expected salvage value of $2,000, and is expected to be driven 100,000 miles over its estimated useful life of 8 years. Actual miles driven were 15,000 in 2008 and 12,000 in 2009.
Instructions
Compute depreciation using different methods
(a) Compute depreciation expense for 2008 and 2009 using (1) the straight-line method, (2) the units-of-activity method, and (3) the double-declining balance method.
(b) Assume that Brainiac uses the straight-line method.
(1) Prepare the journal entry to record 2008 depreciation.
(2) Show how the truck would be reported in the December 31, 2008, balance sheet.
