Al's Sporting Goods purchased store fixtures on January 1, 2004, at a cost of $180,000. The anticipated service life was ten years, with negligible residual value. Al's has been using the double-declining balance method, but in 2006 adopted the straight-line method because the company believes it is a better measure of income. Al's has a December 31 year-end. Ignoring income taxes, the journal entry to record depreciation for 2006 is:

Transcribed Image Text:

A) Depreciation expense 23,040 Accumulated depreciation 23,040 B) Depreciation expense 14,400 Accumulated depreciation 14,400 C) Accumulated depreciation 28,800 28,800 Cumulative effect of accounting change D) No entry