Question: please explain Grouper Bus Lines uses the units-of-activity method in depreciating its buses. One bus was purchased on January 1 , 2022, at a cost

please explain

please explain Grouper Bus Lines uses the units-of-activity method in depreciating its

buses. One bus was purchased on January 1 , 2022, at a

cost of $263,569. Over its 7-year useful life, the bus is expected

Grouper Bus Lines uses the units-of-activity method in depreciating its buses. One bus was purchased on January 1 , 2022, at a cost of $263,569. Over its 7-year useful life, the bus is expected to be driven 156,300 miles. Salvage value is expected to be $8,800. (a) Compute the depreciable cost per unit. (Round answer to 2 decimal places, e.g. 0.50.) Depreciation cost per unit per mile Prepare a depreciation schedule assuming actual mileage was: 2022, 27,300; 2023, 61,000; 2024, 43,000; and 2025, 25,000. (Round cost per unit-to 2 decimal places, e.g. 15.25 and all other answers to 0 decimal places, e.g. 5,275.) End of Year Accumulated Book Depreciation Value $ $ Grouper Bus Lines uses the units-of-activity method in depreciating its buses. One bus was purchased on January 1 , 2022, at a cost of $263,569. Over its 7-year useful life, the bus is expected to be driven 156,300 miles. Salvage value is expected to be $8,800. (a) Compute the depreciable cost per unit. (Round answer to 2 decimal places, e.g. 0.50.) Depreciation cost per unit per mile Prepare a depreciation schedule assuming actual mileage was: 2022, 27,300; 2023, 61,000; 2024, 43,000; and 2025, 25,000. (Round cost per unit-to 2 decimal places, e.g. 15.25 and all other answers to 0 decimal places, e.g. 5,275.) End of Year Accumulated Book Depreciation Value $ $

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!