This problem continues the Lawlor Lawn Service, Inc., situation from Problem 8-41 of Chapter 8. Refer to the Chapter 2 data for Exercise 2-61. In Chapter 2, we learned that Lawlor Lawn Service, Inc., had purchased a lawn mower, $1,200, and weed whacker, $240, on May 3, 2012 and that they were expected to last four years.
Requirements
1. Calculate the amount of depreciation for each asset for the year ended December 31, 2012, assuming both assets are using straight-line depreciation.
2. Record the entry for the partial year’s depreciation. Date it December 31, 2012.