3. Revised Depreciation Year #1 - Machine Cost 50,000 Salvage value 5,000 Useful Life 5 yr...

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3. Revised Depreciation Year #1 - Machine Cost 50,000 Salvage value 5,000 Useful Life 5 yr - use straight line depreciation - - in the beginning of year 4 add a module that increases usefulness and life. Cost of Module 10,000 Extends life to a total of: SV decreases to 8 yr (i.e. 3 more years) 3,000 Prepare journal entry to record modification Calculate depreciation expense for the end of year 4 3. Revised Depreciation Year #1 - Machine Cost 50,000 Salvage value 5,000 Useful Life 5 yr - use straight line depreciation - - in the beginning of year 4 add a module that increases usefulness and life. Cost of Module 10,000 Extends life to a total of: SV decreases to 8 yr (i.e. 3 more years) 3,000 Prepare journal entry to record modification Calculate depreciation expense for the end of year 4

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To record the modification in the useful life and salvage value of the machine at the beginning of y... View the full answer