Victor Mineli, the new controller of Sheffield Corp., has reviewed the expected useful lives and salvage values of selected depreciable assets at the beginning of 2022. Here are his findings: Type of Asset Building Warehouse Date Acquired Jan. 1, 2014 Jan. 1, 2017 Cost $810,000 116,000 Your answer is partially correct. Dec. 31 Date Account Titles and Explanation Accumulated Depreciation Jan. 1, 2022 Accumulated Depreciation-Buildings $154,600 22,360 Useful life (in years) Old 40 25 Proposed 58 20 Prepare the entry to record depreciation on the building in 2022. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Debit Salvage Value 16500 Old $37,000 4,200 Proposed $50,400 27,640 Credit 16500

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Victor Mineli, the new controller of Sheffield Corp., has reviewed the expected useful lives and salvage values of selected depreciable
assets at the beginning of 2022. Here are his findings:
Type of Asset
Building
Warehouse
Date
Acquired
Jan. 1, 2014
Jan. 1, 2017
Dec. 31
Cost
$810,000
Your answer is partially correct.
116,000
Date Account Titles and Explanation
eTextbook and Media
Accumulated Depreciation-Buildings
Accumulated
Depreciation
Jan. 1, 2022
$154,600
22,360
Old
40
Useful life
(in years)
25
Proposed
Prepare the entry to record depreciation on the building in 2022. (Credit account titles are automatically indented when amount is
entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)
58
Debit
20
Salvage Value
Old Proposed
$50,400
27,640
16500
$37,000
4,200
Credit
16500
Transcribed Image Text:Victor Mineli, the new controller of Sheffield Corp., has reviewed the expected useful lives and salvage values of selected depreciable assets at the beginning of 2022. Here are his findings: Type of Asset Building Warehouse Date Acquired Jan. 1, 2014 Jan. 1, 2017 Dec. 31 Cost $810,000 Your answer is partially correct. 116,000 Date Account Titles and Explanation eTextbook and Media Accumulated Depreciation-Buildings Accumulated Depreciation Jan. 1, 2022 $154,600 22,360 Old 40 Useful life (in years) 25 Proposed Prepare the entry to record depreciation on the building in 2022. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) 58 Debit 20 Salvage Value Old Proposed $50,400 27,640 16500 $37,000 4,200 Credit 16500
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