Question: Crane Corp. changed from the straight-line method to the double-declining-balance method in 2021 on all its equipment. There was no change in the salvage values

Crane Corp. changed from the straight-line method to the double-declining-balance method in 2021 on all its equipment. There was no change in the salvage values or useful lives. The equipment was purchased in 2020, and the original cost was $531,000 with no salvage value and a 6-year estimated useful life. Income before depreciation expense was $624,000 in 2020 and $866,000 in 2021. Crane's tax rate is 20%.

Prepare the journal entry to record depreciation expenses in 2021.

Step by Step Solution

★★★★★

3.40 Rating (163 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

2021 Date Workings a b cab a b ccb dac a b cab dc20 ecd f a b Account Title Accumulate Depreciation ... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Prepare the journal entry to record Channel One Companys issuance of 100,000 shares of $0.50 par value common stock assuming the shares sell for: a. $0.50 cash per share. b. $2 cash per share.

Prepare the journal entry to record Selectist Companys issuance of 104,000 shares of no-par value common stock assuming the shares: a. Sell for $15 cash per share. b. Are exchanged for land valued at...

Prepare the journal entry to record Typist Companys issuance of 250,000 shares of its common stock assuming the shares have a: a. $1 par value and sell for $10 cash per share. b. $1 stated value and...

Crane Corp. changed from the straight-line method to the double-declining-balance method in 2021 on all its equipment. There was no change in the salvage values or useful lives. The equipment was...

Ivanhoe Corp. changed from the straight-line method to the double-declining-balance method in 2026 on all its equipment. There was no change in the salvage values or useful lives. The equipment was...

Sunny Corp. changed from the straight-line method to the double-declining-balance method in 2026 on all its equipment. There was no change in the salvage values or useful lives. The equipment was...

Wildhorse Corp. changed from the straight - line method to the double - declining - balance method in 2 0 2 6 on all its equipment. There was no change in the salvage values or useful lives. The...

Carla Corp. changed from the straight-line method to the double-declining- balance method in 2021 on all its equipment. There was no change in the salvage values or useful lives. The equipment was...

Whispering Corp. changed from the straight-line method to the double-declining- balance method in 2021 on all its equipment. There was no change in the salvage values or useful lives. The equipment...

. Described below are six independent and unrelated situations involving accounting changes. Each change occurs during 2021 before any adjusting entries or closing entries were prepared. Assume the...

After making some wise short-term investments at a race track, Chris Low had some additional cash to invest in a business. The most promising opportunity at the time was in building supplies, so Low...

WORK SHEET, ADJUSTING ENTRIES, AND FINANCIAL STATEMENTS Herrera Company had the following trial balance columns on its work sheet: Data for adjusting the accounts are as follows: (a) Factory overhead...

Question 2 of 6 8 3 - 1 4 in Vew Policies Current Attempt in Frogress Coronado and Creds, CPhi, are preparing their iervice reverse ( ales ) toalert for the cominc vear ( 7 0 2 S ) . The practice is...

Corporate sustainability refers to business practices designed around social and environmental considerations (e.g., going green). Business and Society (March 2011) published a paper on how firm size...

A rheostat knob, produced by plastic molding, contains a metal insert. The fit of this knob into its assembly is determined by the distance from the back of the knob to the far side of a pin hole. To...

A European call with a maturity of 6 months and exercise price X = 80 is written on a stock whose current price is 85 is selling for $12.00; a European put written on the same stock with the same...

Determine the products of inertia of the solid homogeneous half-cylinder of mass m for the axes shown.

Give a modular exponentiation algorithm that examines the bits of b from right to left instead of left to right.

Given the function f (x)= 5x^2+8x-1 . Calculate the following values: f(-x)

Describe the accounting entry for a stock dividend, if any. Describe the accounting entry for a stock split, if any.

The financial statements of P&G are presented in Appendix 5B. The companys complete annual report, including the notes to the financial statements, can be accessed at the books companion website,...

The financial statements of Marks and Spencer plc (M&S) are available at the books companion website or can be accessed at...

In testing a hypothesis concerning the mean of a normal process with known variance against a one-tailed alternative, discuss the relationship between the classical p-value and the posterior...

The random variable X is normally distributed with unknown mean ji and known variance

Discuss: The Bayesian approach to statistics can be thought of as an exten sion of the classical approach.