At December 31, 2010, Cord Company\'s plant asset and accumulated depreciation a

Question

At December 31, 2010, Cord Company's plant asset and accumulated depreciation and amortization accounts had balances as follows: Category Plant Asset Accumulated Depreciation & Amortization automobiles and truck 172,000 100,325 leasehold 216,000 108,000 Depreciation is computed to the nearest month and residual values are immaterial. Transactions during 2011 and other information: leasehold improvement: straight line ; automobile & truck - 150% declining balance; 5 years, all acquired after 2007 c.The leasehold improvements were completed on December 31, 2007, and had an estimated useful life of eight years. The related lease, which would terminate on December 31, 2013, was renewable for an additional four-year term. On April 29, 2011, Cord exercised the renewal option. e.On August 30, 2011, Cord purchased a new automobile for $12,500. f.On September 30, 2011, a truck with a cost of $24,000 and a carrying amount of $9,100 on date of sale was sold for $11,500. Depreciation for the nine months ended September 30, 2011, was $2,650. g.On December 20, 2011, a machine with a cost of $17,000 and a book value of $2,975 at date of disposition was scrapped without cash recovery. For each asset category, prepare a schedule showing depreciation or amortization expense for the year ended December 31, 2011. Round computations to the nearest whole dollar. I just need how to do the automobile and truck and leasehold improvement! I don't have any clue.

Explanation / Answer

http://www.ehow.com/how_6580421_capitalize-leasehold-improvements.html may be it will help you......

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