J +J construction has trucks with a cost of $300,000. The trucks have an estimated useful life of 5 years, and?
Which of the following depreciation methods will have the highest depreciation in the early years of an asset’s life?
A. Units of production
B. Straight line
C. Double declining balance
D. All of the above
The journal entry to record depletion expense would be:
A. Depletion Expense XXXXX
Accumulated Depletion XXXXX
B. Depletion Expense XXXXX
C. Depletion Expense XXXXX
Accounts Receivable XXXXX
D. Accumulated Depletion XXXXX
Depletion Expense XXXXX
Leah, Inc. has machinery with a cost of $100,000. The machinery has an estimated useful life of 10 years, and an estimated salvage value of $10,000. The machinery is expected to be able to produce a total of 1,000,000 units during its estimated life.
The amount of deprecation expense in the first year under straight line depreciation would be:
Explanations also would be cool, but answers are appreciated if thats all I can return.
- ConnieLv 61 decade agoFavorite Answer
1. C Double declining (see link at source)
2. A (I'm pretty sure.)
3. A. 100K minus 10K = 90K. Divide this amt by 10 year life = 9K/year.
Best to you.
- 1 decade ago
too much math for me!