19 ACCOUNTING FOR DEPRECIABLE ASSETS Instructions: Using the information provided below: 1. Calculate the annual depreciation for the depreciable assets in 2017. 2. Prepare the journal entries (using correct dates and explanations that are necessary to record the following: the purchase of the assets bought in 2017 the depreciation for each of the depreciable assets for the year ended Dec. 31, 2017 the potential sale of the truck on December 31, 2020 using the information provided 3. Enter the post references in the journal for journal entries pepared in Step 2. (note: only include post references for the entries actually posted). 4. Complete the financial statements for the year ended December 31, 2017 (NOTE: current portion of note payable is $52,800) 5. Answer questions a-d. I 2016 and 2017, Fish & Bait Company had in the following transactions for fixed assets. In 2016 and 2011 Depreciation Transaction Method Life Purchase Date Cost N/A Purchased land 1/1/2016 N/A $ 124 225 6/30/2016 Purchased machinery Units-of-prod. 24,000 hours $ 132.000 DD balance 5 years $ 65,000 10/1/2017 Purchased store equip. Straight line 8 years $ 80,000 Salvage Value N/A 12,000 6,000 8,000 1/5/2017 Purchased truck Additional information: The company paid $5,000 cash for the truck and any paid $5,000 cash for the truck and signed a loan for the remainder of the purchase. . The company paid cash for the store equipment. e machinery was actually used for the following number of hours: 2016 2,900 hours 2017 4,100 hours -RDCCIATION