Depreciation by units-of-activity method Prior to adjustment at the end of the year, the balance in Trucks is $407,400 and the balance in Accumulated Depreciation-Trucks is $124,280. Details of the subsidiary ledger are as follows: Truck No. 1 2 3 4 Truck No. 1 2 3 4 Total Cost $81,500 119,900 98,500 107,500 Estimated Residual Value $12,225 14,388 13,790 12,900

Depreciation by units-of-activity method Prior to adjustment at the end of the year, the balance in Trucks is $407,400 and the balance in Accumulated Depreciation-Trucks is $124,280. Details of the subaldiary ledger are as follows: a. Determine the depreciation rates per mile and the amount to be credited to the accumulated depreciation section of each of the subsidary accounts for the miles operated during the current year. Keep in mind that the depreciation taken cannot reduce the book value of the truck below its residual value. around the rate per mile to two decimal places. Enter all values as positive amounts. b. Journalize the entry on December 31 to record depreciation for the year, If an amount box doos not require an entry, leave it blank. December 31