On January 1,2001,RST purchased 10 identical trucks that cost $24,000 each.Each truck has an estimated useful life of 4 years and a residual value of 10 percent of cost.On January 19,2002,one truck was destroyed in an accident; salvage recovery was $6,500.These trucks are being depreciated using the group system,applied on the straight-line basis.The accounting period ends December 31.RST has a December 31 year-end and only accounts for amortization at year-end. $\begin{array}{l|l|l|l|l|}
\text { Required: Complete the following}& && \text { Amortization } & \text { Accumulated } \ \text { schedule:}\
\hline \text { Date } & \text { Event } & \text { Trucks } & \text { Expense } & \text { Amortization }
\end{array}$ 1-1-2001
12-31-2001
Balance
12-31-2001
1-19-2002
12-31-2002
Balance
12-31-2002

Question

On January 1,2001,RST purchased 10 identical trucks that cost $24,000 each.Each truck has an estimated useful life of 4 years and a residual value of 10 percent of cost.On January 19,2002,one truck was destroyed in an accident; salvage recovery was $6,500.These trucks are being depreciated using the group system,applied on the straight-line basis.The accounting period ends December 31.RST has a December 31 year-end and only accounts for amortization at year-end. $\begin{array}{l|l|l|l|l|} 
 \text { Required: Complete the following}& && \text { Amortization } & \text { Accumulated } \ \text {  schedule:}\
\hline \text { Date } & \text { Event } & \text { Trucks } & \text { Expense } & \text { Amortization }
\end{array}$ 1-1-2001
12-31-2001
Balance
12-31-2001
1-19-2002
12-31-2002
Balance
12-31-2002

Quizplus · Accepted Answer

The Answer of On January 1,2001,RST purchased 10 identical trucks that cost $24,000 each.Each truck has an estimated useful life of 4 years and a residual value of 10 percent of cost.On January 19,2002,one truck was destroyed in an accident; salvage recovery was $6,500.These trucks are being depreciated using the group system,applied on the straight-line basis.The accounting period ends December 31.RST has a December 31 year-end and only accounts for amortization at year-end. $\begin{array}{l|l|l|l|l|} 
 \text { Required: Complete the following}& && \text { Amortization } & \text { Accumulated } \ \text {  schedule:}\
\hline \text { Date } & \text { Event } & \text { Trucks } & \text { Expense } & \text { Amortization }
\end{array}$ 1-1-2001
12-31-2001
Balance
12-31-2001
1-19-2002
12-31-2002
Balance
12-31-2002

On January 1,2001,RST Purchased 10 Identical Trucks That Cost $24,000