Blossom Company purchased equipment that cost $3450000 on January 1, 2020. The entire cost was recorded as an expense. T

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answerhappygod
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Blossom Company purchased equipment that cost $3450000 on January 1, 2020. The entire cost was recorded as an expense. T

Post by answerhappygod »

Blossom Company purchased equipment that cost $3450000 on
January 1, 2020. The entire cost was recorded as an expense. The
equipment had a 9-year life and a $138000 residual value. Blossom
uses the straight-line method to account for depreciation expense.
The error was discovered on December 10, 2022. Blossom is subject
to a 30% tax rate. Blossom’s net income for the year ended December
31, 2020, was understated by
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