Victor Mineli, the new controller of Splish Brothers Inc. has reviewed the expected useful lives and salvage values of selecteddepreciable assets at the beginning of 2022. Here are his findings:Type of AssetBuildingWarehouseDateAcquiredJan 1, 2014Jan 1, 2017Cost$824,000107,000AccumulatedDepreciationJan. 1, 2022$156,800Revised annual depreciation $Useful life(in years)BuildingOld4020.540 25$Proposed5820WarehouseSalvage ValueOld Proposed$37,200All assets are depreciated by the straight-line method. Splish Brothers Inc. uses a calendar year in preparing annual adjusting entriesand financial statements. After discussion, management has agreed to accept Victor's proposed changes. (The "Proposed" useful life istotal life, not remaining life)Compute the revised annual depreciation on each asset in 2022. (Round answers to O decimal places, e.g. 5.125.)$40,0004,30012.960SUPPORT

The depreciation methods include straight-line method, declining balance method and units of…

Victor Mineli, the new controller of Splish Brothers Inc., 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 (a) Acquired Jan 1, 2014 Jan. 1. 2017 Cost $824,000 107,000 Accumulated Depreciation Jan. 1, 2022 $156,800 20.540 Useful life (in years) Old Proposed 40 25 58 20 Salvage Value Old $40,000 4,300 Proposed $37,200 All assets are depreciated by the straight-line method. Splish Brothers Inc. uses a calendar year in preparing annual adjusting entries and financial statements. After discussion, management has agreed to accept Victor's proposed changes. (The "Proposed" useful life is total life, not remaining life) 12.960 Compute the revised annual depreciation on each asset in 2022. (Round answers to O decimal places, eg. 5,125)

Victor Mineli, the new controller of Splish Brothers Inc., 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 (a) Acquired Jan 1, 2014 Jan. 1. 2017 Cost $824,000 107,000 Accumulated Depreciation Jan. 1, 2022 $156,800 20.540 Useful life (in years) Old Proposed 40 25 58 20 Salvage Value Old $40,000 4,300 Proposed $37,200 All assets are depreciated by the straight-line method. Splish Brothers Inc. uses a calendar year in preparing annual adjusting entries and financial statements. After discussion, management has agreed to accept Victor's proposed changes. (The "Proposed" useful life is total life, not remaining life) 12.960 Compute the revised annual depreciation on each asset in 2022. (Round answers to O decimal places, eg. 5,125)

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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