On January 1 of the current year, the records of Smita Corporation showed the following: Truck...

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On January 1 of the current year, the records of Smita Corporation showed the following: Truck (estimated residual value, $9,000) Accumulated depreciation (straight line, two years) $27,000 6,000 On September 30 of the current year, the delivery truck was a total loss as a result of an accident. As the truck was insured, the company collected $15,500 cash from the insurance company on October 5 of the current year. Required: 1. Compute the estimated useful life of the truck. Estimated useful life years On January 1 of the current year, the records of Smita Corporation showed the following: Truck (estimated residual value, $9,000) Accumulated depreciation (straight line, two years) $27,000 6,000 On September 30 of the current year, the delivery truck was a total loss as a result of an accident. As the truck was insured, the company collected $15,500 cash from the insurance company on October 5 of the current year. Required: 1. Compute the estimated useful life of the truck. Estimated useful life years

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Answer So the estimated useful life of the truck is 171 years To compute the estimated usef... View the full answer