Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. cullumber arrow ltd. purchased a new bus on octobe

Cullumber Arrow Ltd. purchased a new bus on October 1,2024, at a total cost of...

70.2K

Verified Solution

Question

Accounting

image
image
Cullumber Arrow Ltd. purchased a new bus on October 1,2024, at a total cost of \$159.585. Management is considering the merits of using the diminishing-balance or units-of-production methods of depreciation instead of the straight-line method, which it currently uses for its other buses. The new bus has an estimated residual value of $16,000, and an estimated useful life of either four years or 305.500km. Use of the bus will he sporadic so it could be much higher in some years than in others. Assume the new bus is driven as follows: 7,900 km in 2024; 100,400 km in 2025:64,500 km in 2026,95,700 km in 2027: and 37,000km in 2028, Cullumber Arrow has a October 31 year end. (a) Prepare separate depreciation schedules for the life of the bus using: (Round depreciation per unit to 2 decimal ploces, es, 5.28 and final answers to 0 decimal places, es. 5.275.) (3) Units-of-production method

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Consider a system of three particles with three energy eigenstates of 0, 3ε and 5ε. Write...

Physics
Q

1-state the relationship between a wave's velocity wavelength and frequency? 2- What is the principle of superposition? 3-...

Physics
Q

Four wires each of length 2 0 m are bent in four loop P Q...

Physics
Q

A set of test scores is normally distributed with a mean of 100 and a...

Basic Math
Q

Find all the first and second order partial derivatives for the following functions Check your...

Calculus
Q

Find the area of the region enclosed by one loop of the curve sin 40...

Calculus
Q

Graph the function f x x 6x by starting with the graph of y x...

Calculus
Q

xin x3 A In In x c C B In x C C in x...

Calculus
Q

Entity F borrowed $60,000 on October 1, 2024 issuing a 6-month,10% interest-bearing note to the...

Accounting
Q

Discounted cash flow & Using market multiples of comparable companies are two major methods for...

Accounting
Q

Kroll Dog Care Co. wants to finance a new animal shelter by making twelve annual...

Accounting
Q

Merchandise inventory: Includes supplies the company will use in future periods. Is classified with investments...

Accounting