The Barker Company purchased equipment in Year 1 at a cost of $26,000.The equipment was estimated to last for 8 years and have a salvage value of $2,000.In Year 5, it was determined that the life of the equipment was really 12 years, and the salvage value was expected to remain unchanged.What amount of depreciation was recorded for the equipment for years 1 through 12? The firm uses the straight-line method of depreciation.

Question

Quizplus · Accepted Answer

The Answer of The Barker Company purchased equipment in Year 1 at a cost of $26,000.The equipment was estimated to last for 8 years and have a salvage value of $2,000.In Year 5, it was determined that the life of the equipment was really 12 years, and the salvage value was expected to remain unchanged.What amount of depreciation was recorded for the equipment for years 1 through 12? The firm uses the straight-line method of depreciation.

The Barker Company Purchased Equipment in Year 1 at a Cost