Pinewood Corporation purchased a piece of equipment for S70,000. It estimated an 8-year life and a $2,000 salvage value. At the end of year four (before the depreciation adjustment), it estifiated the new total life to be 10 years and the new salvage value to be $6,000. Compute the revised depreciation.

Pinewood Corporation purchased a piece of equipment for S70,000. It estimated an 8-year life and a $2,000 salvage value. At the end of year four (before the depreciation adjustment), it estifiated the new total life to be 10 years and the new salvage value to be $6,000. Compute the revised depreciation.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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