Frederick Industries changed from the double-declining-balance to the straight-line method in 2012 on all its plant assets. There was no change in the assets’ salvage values or useful lives. Plant assets, acquired on January 2, 2011, had an original cost of $2,400,000, with a $100,000 salvage value and an 8-year estimated useful life. Income before depreciation expense was $370,000 in 2009 and $300,000 in 2012.

Instructions
  (a) Prepare the journal entry(ies) to record the change in depreciation method in 2012.
  (b) Starting with income before depreciation expense, prepare the remaining portion of the income statement for 2011 and 2012.