QUESTION 4 On Jan. 1, 2017, Acme Industries put into service a milling machine that had a capitalized acquisition cost of $24,000, a useful life of 12 years, and an estimated salvage value of $0 (zero). Annual depreciation expense was calculated as $2,000/yr on a straight-line basis. On Jan. 1, 2019, Acme revises the total useful life estimate from 12 years to 10 years. What is Acme's annual depreciation expense for the machine in 2019? O $2,500 O $3,000 O $2,000 O $2,250
QUESTION 4 On Jan. 1, 2017, Acme Industries put into service a milling machine that had a capitalized acquisition cost of $24,000, a useful life of 12 years, and an estimated salvage value of $0 (zero). Annual depreciation expense was calculated as $2,000/yr on a straight-line basis. On Jan. 1, 2019, Acme revises the total useful life estimate from 12 years to 10 years. What is Acme's annual depreciation expense for the machine in 2019? O $2,500 O $3,000 O $2,000 O $2,250
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter11: Depreciation, Depletion, Impairment, And Disposal
Section: Chapter Questions
Problem 2E: Depreciation Methods Sorter Company purchased equipment for 200,000 on January 2, 2019. The...
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Transcribed Image Text:QUESTION 4
On Jan. 1, 2017, Acme Industries put into service a milling machine that had a capitalized acquisition cost of $24,000, a useful life of 12 years, and an estimated salvage
value of $0 (zero). Annual depreciation expense was calculated as $2,000/yr on a straight-line basis. On Jan. 1, 2019, Acme revises the total useful life estimate from
12 years to 10 years. What is Acme's annual depreciation expense for the machine in 2019?
O $2,500
O $3,000
O $2,000
O $2,250
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