Good Time Adventures currently owns a 10-passenger van that is used to transport clients to and from its outdoor adventure sites. The van was…

Good Time Adventures currently owns a 10-passenger van that is used to transport clients to and from its outdoor adventure sites. The van was purchased 5 years ago at a cost of $20,000. At that time, its useful life was estimated to be 5 years with a salvage value of $5,000.The van is in need of some major repairs. It needs a new engine and transmission, new tires, and other minor miscellaneous maintenance. The engine and transmission are estimated to cost $4,000 and will extend the useful life of the van by 5 years. The new tires and other repairs are estimated to cost $1,200. The estimated salvage value at the end of the 5 years is $7,000. Good Time Adventures is trying to decide if it should repair the existing van or trade it in for a new van. A local dealer has offered a trade-in value of $6,000 on the old van with a purchase of a new van costing $30,000. If the new van is purchased, Good Time Adventures plans to depreciate it using the units of production method. The units would be based on the number of miles driven. The new van is expected to have a salvage value of $10,000 after its useful life of 100,000 miles. Prepare a 750–1,000 word report for your manager.For full-credit, you must discuss/explain and calculate the following:Show the calculations for depreciation expense for the existing van (how depreciation is currently being expensed).the repaired van (depreciation expense if the existing van is repaired).the new van (explain how depreciation would be calculated if the new van is purchased). Show the journal entries you would record if the existing van is repaired.a new van is purchased. Explain how you record each of the decision options: Repair the existing van.Trade in the van for a new van. Explain how you would account for the repairs on the existing van. Are they expenses, assets, or both?Recommend a course of action regarding the van.

Show more

Calculate Your Essay Price
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more