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On January 2, 2024, Ares Enterprises reports balances in the Equipment account of $32,000 and Accumulated DepreciationEquipment account of $9,000. The equipment had an original residual value of $2,000 and a 10-year useful life. Ares uses straight-line depreciation for equipment.

On January 2, 2024, Ares Enterprises reports balances in the Equipment account of $32,000 and Accumulated Depreciation—Equipment account of $9,000. The equipment had an original residual value of $2,000 and a 10-year useful life. Ares uses straight-line depreciation for equipment. On this date, the company decides that the equipment has a remaining useful life of only four years with the same residual value. Calculate the revised annual depreciation.

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Accounting Principles Volume 2

Accounting Principles Volume 2

ISBN: 9781119786634

9th Canadian Edition

Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel, Barbara Trenholm, Valerie Warren, Lori Novak

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Question Details
Chapter # 1- Accounting in Action
Section: Brief Exercises
Problem: 12
Posted Date: January 19, 2023 06:30:54
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