Company purchased a machine on January 1, 2013 for $5,000. The original estimated useful life was four
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Company purchased a machine on January 1, 2013 for $5,000. The original estimated useful life was four years, and the residual value was estimated to be $1,000. B Company uses straight-line depreciation. On January 1, 2015 (2 years later), B Company increases the estimated useful life by three years, and the residual value is reduced to $250. B Company should now record how much depreciation in 2015?
a. $350
c. $400
b. $450
d. $550
Related Book For
Financial Reporting and Analysis
ISBN: 978-0078025679
6th edition
Authors: Flawrence Revsine, Daniel Collins, Bruce, Mittelstaedt, Leon
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