The Method of Depreciation Was Changed from the Double-Declining-Balance Method

question 104

Multiple Choice

The method of depreciation was changed from the double-declining-balance method to the straight-line method in fiscal 2019.A machine was purchased on January 1,2017,at a cost of $150,000.The machine has an estimated useful life of 10 years and a residual value of $9,000.What is the appropriate accounting?

• A)Retrospective adjustment for fiscal 2019.
• B)Retrospective adjustment for fiscal 2017 and 2018.
• C)Prospective adjustment from fiscal 2018 going forward.
• D)Error correction for fiscal 2019.

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Definitions:

Lewis Structure

An illustration depicting the bonds among a molecule's atoms and the potential unshared electron pairs present.

Lone Pairs

Paired valence electrons on an atom in a molecule that are not involved in bonding.

Condensed Structures

A method of writing the structure of a molecule in a simplified way, showing how atoms or groups are connected.

Compounds

Substances composed of two or more elements chemically bonded together.