The Delivery Equipment Account in the Ledger of a Co

question 48

Multiple Choice

The Delivery Equipment account in the ledger of A Co has a balance of $17 600 which is the cost of two 2^nd hand trucks purchased on 1 January 2015. The Accumulated Depreciation Delivery Equipment account has a balance on 31 December 2016 of $8000, before adjusting entries. No additional delivery trucks have been acquired or sold. The residual value of each truck is estimated to be $800 and the straight-line depreciation method is used. What is the necessary adjusting entry to record annual depreciation on 31 December 2017?
Debit Credit

• A) Depreciation exp. $8000 Delivery equipment $8000
• B) Accumulated depr. $4000 Delivery equipment $4000
• C) Depreciation exp. $8000 Cash at bank $8000
• D) Depreciation exp. $4000 Accumulated depr. $4000

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Definitions:

Dysphagia

Difficulty or discomfort in swallowing, which can be a symptom of various medical conditions.

Critical Thinking

The objective analysis and evaluation of an issue in order to form a judgment, involving logical reasoning and questioning.

Experience

The knowledge or skill acquired by a person through direct participation in events or activities.

Swallow Precautions

Strategies and interventions designed to prevent aspiration and choking in individuals with difficulty swallowing, known as dysphagia.