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Exercise 10-05 a-b (Part Level Submission) Novak Bus Lines uses the units-of-activity method in depreciating its buses

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Exercise 10-05 a-b (Part Level Submission) Novak Bus Lines uses the units-of-activity method in depreciating its buses. One bus was purchased on January 1, 2020, at a cost of $299,818. Over its 6-year useful life, the bus is expected to be driven 190,600 miles. Salvage value is expected to be $8,200.

Prepare a depreciation schedule assuming actual mileage was: 2020, 48,600; 2021, 55,000; 2022, 51,000; and 2023, 36,000. (Round cost per unit to 2 decimal places, e.g. 15.25 and all other answers to 0 decimal places, e.g. 5,275.) Computation End of Year Year Units of Activity x Depreciation Cost /Unit = Annual Depreciation Expense Accumulated Depreciation Book Value 2020 $ $ $ $ 2021 2022 2023

Computation

End of Year

Year

Units of
Activity

x

Depreciation
Cost /Unit

=

Annual
Depreciation
Expense

Accumulated
Depreciation

Book
Value

2020

$

$

$

$

2021

2022

2023