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4 Exercise 20-10 (Algo) Change in depreciation methods [LO20-3] For financial reporting, Clinton Poultry Farms has used
Posted: Wed May 04, 2022 7:26 am
by answerhappygod
- 4 Exercise 20 10 Algo Change In Depreciation Methods Lo20 3 For Financial Reporting Clinton Poultry Farms Has Used 1 (80.45 KiB) Viewed 64 times
4 Exercise 20-10 (Algo) Change in depreciation methods [LO20-3] For financial reporting, Clinton Poultry Farms has used the declining-balance method of depreciation for conveyor equipment acquired at the beginning of 2018 for $2,800,000. Its useful life was estimated to be six years with a $220,000 residual value. At the beginning of 2021, Clinton decides to change to the straight-line method. The effect of this change on depreciation for each year is as follows: eBook Year 2018 Straight-Line $ 430 430 ($ in thousands) Declining Balance $ 933 622 415 Difference $503 2019 192 2020 430 (15) $1,290 $1,970 $680 Print Required: References 2. Prepare any 2021 journal entry related to the change. (Enter your answers in dollars. If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list View journal entry worksheet X No Event General Journal Debit Credit 1 1 Depreciation expense Accumulated depreciation 1.11 points i