Prepare a schedule of depreciation expense per year

Assignment Help Accounting Basics
Reference no: EM132091131

Question - Rural's Pizza bought a used Toyota delivery van on January 2, 2014 for $18,000. The van was expected to remain in service for four year (41,750 miles). At the end of its useful life, Rural's officials estimated that the van's residual value would be $1,300. The Van traveled 13,000 miles the first year, 11,250 the second year, 10,250 the third year and 7,250 in the fourth year.

Requirements:

• Prepare a schedule of depreciation expense per year for the van under the the three depreciation methods

• Which method best tracks the wear and tear on the van?

• Which method would Rural's prefer to use for income tax purpose? Explain in detail why Rural's prefers this method.

Reference no: EM132091131

Questions Cloud

What is the annual capital recovery cost : If her new car will have a resale value of 3,5000 after seven years when your sister will shop for a replacement car, what is the annual capital recovery cost
Develop the equation ranged : Values for X that were used to develop the equation ranged from 2 to 10. Assume you are now asked to estimate Y when X equals 30. Which of the following is most
Deal with negative comments or brand reputation crisis : How do you deal with negative comments or a brand reputation crisis?
Which piece of data that is returned using the feature : If not If I am using the regression statistics function in Excel which piece of data that is returned using the feature is equivalent to the slope?
Prepare a schedule of depreciation expense per year : Rural's Pizza bought a used Toyota delivery van on January 2, 2014 for $18,000. Prepare a schedule of depreciation expense per year for the van
User attitude towards facebook advertising : User attitude towards Facebook advertising
Height and head circumference of a child : So how would I compute the linear correlation coefficient between the height and head circumference of a child?
The customer may also send customer address change request : The customer may also send a “Customer address change request” during the order handling process.
Can ceretti afford to develop new cookies : Would developing new cookies and investing in more marketing potentially reap sufficient benefits for Kookie Kutter Bakery?

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd