In December of 2009, XL Computer's internal auditors discovered that office equipment costing $800,000 was charged to expense in 2007. The asset had an expected life of 10 years with no residual value. XL would have recorded a half year of depreciation in 2007.
Required:
Prepare the necessary correcting entry that would be made in 2009 (ignore income taxes), and the entry to record depreciation for 2009.

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The Answer of In December of 2009, XL Computer's internal auditors discovered that office equipment costing $800,000 was charged to expense in 2007. The asset had an expected life of 10 years with no residual value. XL would have recorded a half year of depreciation in 2007.
Required:
Prepare the necessary correcting entry that would be made in 2009 (ignore income taxes), and the entry to record depreciation for 2009.

In December of 2009, XL Computer's Internal Auditors Discovered That