EBK HEALTHCARE FINANCE: AN INTRODUCTION
6th Edition
ISBN: 9781567937428
Author: Gapenski
Publisher: YUZU
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Denim, Inc. purchased a building on January 1, 2010. The building cost $2,600,000 and had an estimated salvage value of $200,000. As of January 1, 2010, Denim estimated the useful life of the building to be 30 years. The building is depreciated using the straight-line method.
On January 1, 2020, Denim, Inc. determined the building to have a remaining useful life of 15 years and an estimated salvage value of $300,000.
What type of accounting change does this represent by placing an “X” in the space provided?
____Change in accounting principle.
____Change in accounting estimate.
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Martinez Company constructed a building at a cost of $2,464,000 and occupied it beginning in January 1998. It was estimated at that time that its life would be 40 years, with no salvage value.In January 2018, a new roof was installed at a cost of $336,000, and it was estimated then that the building would have a useful life of 25 years from that date. The cost of the old roof was $179,200.
What amount of depreciation should have been charged annually from the years 1998 to 2017? (Assume straight-line depreciation.)
Depreciation from the years 1998 to 2017
$
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What entry should be made in 2018 to record the replacement of the roof? (If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not…
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Annual depreciation from 2009 through 2026 $
/yr.
Chapter 3 Solutions
EBK HEALTHCARE FINANCE: AN INTRODUCTION
Ch. 3 - Prob. 1.1STQCh. 3 - Prob. 1.2STQCh. 3 - Prob. 2.1STQCh. 3 - Prob. 2.2STQCh. 3 - Prob. 2.3STQCh. 3 - Prob. 3.1STQCh. 3 - Prob. 3.2STQCh. 3 - Prob. 3.3STQCh. 3 - Prob. 3.4STQCh. 3 - Prob. 3.5STQ
Ch. 3 - Prob. 4.1STQCh. 3 - Prob. 4.2STQCh. 3 - Prob. 4.3STQCh. 3 - Prob. 5.1STQCh. 3 - Prob. 5.2STQCh. 3 - Prob. 5.3STQCh. 3 - Prob. 6.1STQCh. 3 - Prob. 6.2STQCh. 3 - Prob. 7.1STQCh. 3 - Prob. 7.2STQCh. 3 - Prob. 7.3STQCh. 3 - Prob. 8.1STQCh. 3 - Prob. 8.2STQCh. 3 - Prob. 8.3STQCh. 3 - Prob. 8.4STQCh. 3 - Prob. 9.1STQCh. 3 - Prob. 9.2STQCh. 3 - Prob. 9.3STQCh. 3 - Prob. 10.1STQCh. 3 - Prob. 10.2STQCh. 3 - Prob. 11.1STQCh. 3 - Prob. 11.2STQCh. 3 - Prob. 12.1STQCh. 3 - Prob. 12.2STQCh. 3 - Prob. 12.3STQCh. 3 - Prob. 13.1STQCh. 3 - Prob. 13.2STQCh. 3 - Prob. 13.3STQCh. 3 - Prob. 13.4STQCh. 3 - Prob. 14.1STQCh. 3 - Prob. 14.2STQCh. 3 - Prob. 14.3STQCh. 3 - Prob. 15.1STQCh. 3 - Prob. 15.2STQCh. 3 - Prob. 16.1STQCh. 3 - Prob. 16.2STQCh. 3 - Prob. 3.1QCh. 3 - Prob. 3.2QCh. 3 - Prob. 3.3QCh. 3 - Prob. 3.4QCh. 3 - Prob. 3.5QCh. 3 - Prob. 3.6QCh. 3 - Prob. 3.7QCh. 3 - Prob. 3.8QCh. 3 - Prob. 3.9QCh. 3 - Prob. 3.1PCh. 3 - Prob. 3.2PCh. 3 - Prob. 3.3PCh. 3 - Prob. 3.4PCh. 3 - Prob. 3.5PCh. 3 - Prob. 3.6PCh. 3 - Prob. 3.7PCh. 3 - Prob. 3.8PCh. 3 - Prob. 3.9P
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