On January 1, 2019, Golden Lab Corp. purchased equipment costing $1,000,000. The company has been depreciating the asset on a straight-line basis over its initially estimated useful life of 12 years and residual value of $100,000. When preparing its adjusting entries for its year ended December 31, 2020, management determined that it was now appropriate to depreciate the equipment over a total of 10 years. It also downwardly adjusted its estimated residual value to $0. Golden Lab Corp.’s tax rate is 30%. The company has already prepared journal entries for its preliminary estimate of depreciation expense and income tax expense for the year. 

Required:

Prepare the journal entries in 2020 to account for this change in estimate. Include the effect of income taxes.