An Asset That Cost $49,500 Was Being Depreciated on a Sum-Of-The-Years'-Digits

question 80

Essay

An asset that cost $49,500 was being depreciated on a sum-of-the-years'-digits basis over five years with an estimated residual value of $4,500.After the end of the third year, it was decided to change t straight-line depreciation (ignore income taxes).
(a)Give any required entry as of the beginning of year 4.
(b)Give the adjusting entry to record depreciation at the end of the fourth year, taking into account the new decision.

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Definitions:

Ventral Roots

The efferent motor root of a spinal nerve, through which motor neurons exit the spinal cord.

Spinal Nerves

Nerves that emerge from the spinal cord, crucial for transmitting motor, sensory, and autonomic signals between the spinal cord and the body.

Meninges

The three protective membranes that cover the brain and spinal cord.

Dura Mater

The tough outermost layer of the three membranes (meninges) covering the brain and spinal cord.