Indicate where the following items would ordinarily appear on the financial
Indicate where the following items would ordinarily appear on the financial statements of Allepo, Inc. for the year 2008.
(a) The service life of certain equipment was changed from 8 to 5 years. If a 5-year life had been used previously, additional depreciation of $425,000 would have been charged.
(b) In 2008 a flood destroyed a warehouse that had a book value of $1,600,000. Floods are rare in this locality.
(c) In 2008 the company wrote off $1,000,000 of inventory that was considered obsolete.
(d) An income tax refund related to the 2005 tax year was received.
(e) In 2005, a supply warehouse with an expected useful life of 7 years was erroneously expensed.
(f) Allepo, Inc. changed from weighted-average to FIFO inventory pricing.

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