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The Delivery Equipment Account in the Ledger of a Co

question 48

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The Delivery Equipment account in the ledger of A Co has a balance of $17 600 which is the cost of two 2nd 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


Definitions:

Average Number

This term often refers to the arithmetic mean, which is calculated by summing all numbers in a set and dividing by the count of those numbers.

Type II Error

A statistical error that occurs when a false null hypothesis is not rejected, also known as a "false negative" finding.

Null Hypothesis

The null hypothesis is a statement in hypothesis testing that there is no effect or no difference, and it serves as a default position until evidence suggests otherwise.

Alternative Hypothesis

A hypothesis that proposes there is a statistically significant difference between two variables, contrasting with the null hypothesis.

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