Acute Company was incorporated on January 1, 2017. In preparing the financial statements for the year ended December 31, 2019, the entity used the following original cost and useful life for property, plant and equipment: Original cost Useful life Building 15,000,000 15 years Machinery 10,500,000 10 years Furniture 3,500,000 7 years On January 1, 2020, the entity determine that the remaining useful life is 10 years for the building, 7 years for the machinery and 5 years for the furniture. The entity will use the straight line method of depreciation with no residual value. What is the total depreciation for 2020? a. 2,650,000 b.3,700,000 c. 2,550,000 d. 3,500,000
Acute Company was incorporated on January 1, 2017. In preparing the financial statements for the year ended December 31, 2019, the entity used the following original cost and useful life for property, plant and equipment:
Original cost Useful life
Building 15,000,000 15 years
Machinery 10,500,000 10 years
Furniture 3,500,000 7 years
On January 1, 2020, the entity determine that the remaining useful life is 10 years for the building, 7 years for the machinery and 5 years for the furniture.
The entity will use the
What is the total depreciation for 2020?
a. 2,650,000
b.3,700,000
c. 2,550,000
d. 3,500,000
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