There is an error in the last question this is the correcteddata but i am confused in what to do here.

Cost: $ 1,000,000 Residual value: $ 100,000 Lifespan: 5 years Year Purchased: January 1, 2014 Estimated units: 40,000 units produced: 2014: 10,000 2015: 9,000 2016: 8,000 2017: 7,000 2018: 6,000

Cost: $ 1,000,000 Residual value: $ 100,000 Lifespan: 5 years Year Purchased: January 1, 2014 Estimated units: 40,000 units produced: 2014: 10,000 2015: 9,000 2016: 8,000 2017: 7,000 2018: 6,000

Cost:$1,000,000

Residualvalue: $ 100,000

Lifespan: 5 years

Year Purchased:January 1, 2014

Estimatedunits:40,000

units produced:

2014: 10,000

2015:9,000

2016: 8,000

2017: 7,000

2018: 6,000

ACCO 4220 - Intermediate Accounting II Actividad 4.1: Depreciacin Valor: 44 puntos 1) Carrie Heffernan Company purchased a delivery van on January 1, 2013, for $50,000. The van was expected to remain in service 4 years (or 100,000 miles) and has a residual value of $5,000. The van traveled 30,000 miles the first year, 25,000 miles the second year, and 22,500 miles in the third and fourth years. Required: a. Prepare a schedule of depreciation expense per year for the first four years of the asset's life using the (a) straight-line method, (b) units-of-production method, (c) double-declining-balance method, and (d) Sum-of-the-years'-digit. b. Prepare a schedule of the book value of the van for each of the four years using the (a) straightline method, (b) units-of-production method, (c) double-declining-balance method, and (d) Sumof-the-years'-digit. 2) Equipment was purchased on January 5, year 1, at a cost of $90,000. The equipment had an estimated useful life of 8 years and an estimated residual value of $8,000. After using the equipment for 3 years, the useful life was revised to a total of 10 years and the residual value was reduced to $2,004. Required: Determine the straight-line depreciation expense for the Year 4 and following years. 3) Solare Company acquired mineral rights for $60,000,000. The diamond deposit is estimated at 6,000,000 tons. During the current year, 2,300,000 tons were mined and sold. Required: a. Determine the depletion rate. b. Determine the amount of depletion expense for the current year. c. Journalize the adjusting entry to recognize the depletion expense. 4) On December 31, Bowman Company estimated that goodwill of $80,000 was impaired. Required: (1) Journalize the adjusting entry on December 31 for the impaired goodwill. 5) Assume that the company has a policy of using the Units-of-output method to depreciate equipment but the company accountant neglected to follow company policy when he used the Sum-of-the-years'-digits method. Net income for the year ended December 31, 2015 was $250,000 as the result of depreciating the equipment incorrectly. Required: Using the method of depreciation which the company normally follows, prepare the correcting entry and determine the corrected net income. (Show computations.)