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Calculating and Journalizing Depreciation

Equipment records for Johnson Machine Co. for the year follow. Johnson Machine uses the straight-line method of depreciation. In the case of assets acquired by the fifteenth day of the month, depreciation should be computed for the entire month. In the case of assets acquired after the fifteenth day of the month, no depreciation should be considered for the month in which the asset was acquired.

Asset	Purchase Price	Useful Life		Salvage Value	Date Purchased
Truck #1	$21,060	8	years	$4,180	January 1
Truck #2	23,480	8		4,120	April 10
Tractor #1	18,100	5		3,100	May 1
Tractor #2	14,240	6		1,940	June 18
Forklift	41,680	10		4,180	September 1

Required:

Question Content Area

1. Calculate the depreciation expense for Johnson Machine as of December 31, 20--. $fill in the blank f0cd32f95fe7016_1

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2. Prepare the entry for depreciation expense using a general journal.

Page: 1

ROW NUMBER	DATE	ACCOUNT TITLE	DOC. NO.	POST. REF.	DEBIT	CREDIT	ROW NUMBER
1	20-- Dec. 31	Accounts PayableAccumulated Depreciation-EquipmentCashDepreciation Expense-EquipmentEquipment	blank	blank	- Select -	- Select -	1
2	blank	Accumulated Depletion-EquipmentAccumulated Depreciation-EquipmentCashDepreciation Expense-EquipmentEquipment	blank	blank	- Select -	- Select -	2
3	blank	blank	blank	blank	blank	blank	3

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