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

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

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

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!

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...

Zebra Corp. changed from the straight-line method to the double-declining-balance method in 2015 on all its equipment. There was no change in the salvage value s 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...

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...

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...

Oriole 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...

Blue Spruce 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...

Part B: Starting with income before depreciation expense, prepare the remaining portion of the income statement for 2025 and 2026. Coronado Corp. changed from the straight-line method to the...

Oriole 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...

Recall instances in which you have experienced each of the three primary forms of conflict.

Use the data in Table 9 - 1 and the specific heat data given below to calculate the undercooling required to keep the dendritic fraction at 0.5 for each metal. Metal Specific heat [J/(cm3 ( K)]...

Which of the following accounts transfer to beneficiaries based on a written will? Thrift Savings Plan (TSP) Servicemembers' Group Life Insurance (SGLI) Individual Retirement Account (IRA) None of...

In regards to USE CASE diagrams, which is more important? Rainy Day or Sunny Day? Question 4 options: A ) Rainy Day as it defines what to do when things go wrong B ) Neither is necessarily more...

=+So, you'd say, That guy SNAPPED a photo, not The photo WAS SNAPPED by that guy.

=+7. Choose active, not passive voice Keep the action alive by using straightforward writing, such as the active subject-followed-by-the-verb sentence construction.

=+8. Weave Use the main idea throughout the copy. So if your headline talks about Creating Buzz, you would weave buzz in interesting ways in the copy.