Machinery purchased for $64,800 by Windsor Co. in 2021 was originally estimated to have a life...
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Machinery purchased for $64,800 by Windsor Co. in 2021 was originally estimated to have a life of 8 years with a salvage value of $4,320 at the end of that time. Depreciation has been entered for 5 years on this basis. In 2026, it is determined that the total estimated life should be 10 years with a salvage value of $4,860 at the end of that time. Assume straight-line depreciation. (a) Your answer is incorrect. Prepare the entry to correct the prior years' depreciation, if necessary. (If no entry is required, select "No entry" for the account titles and enter o for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. List debit entry before credit entry.) Account Titles and Explanation eTextbook and Media Debit Credit Machinery purchased for $64,800 by Windsor Co. in 2021 was originally estimated to have a life of 8 years with a salvage value of $4,320 at the end of that time. Depreciation has been entered for 5 years on this basis. In 2026, it is determined that the total estimated life should be 10 years with a salvage value of $4,860 at the end of that time. Assume straight-line depreciation. (a) Your answer is incorrect. Prepare the entry to correct the prior years' depreciation, if necessary. (If no entry is required, select "No entry" for the account titles and enter o for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. List debit entry before credit entry.) Account Titles and Explanation eTextbook and Media Debit Credit
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Answer rating: 100% (QA)
Heres the journal entry to correct the prior years depreciation Debit Accumulated Depreciation 7830 ... View the full answer
Related Book For
Intermediate Accounting IFRS
ISBN: 978-1119372936
3rd edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
Posted Date:
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