12-36

,Phelps . lt is depreciation expense for 2020 Method LOS Brief Exercise 12-36 Whitney Company purchased equipment on January 1, 2020, for $90,000. This equipment has a and a residual value of $5,000. The company uses the straight-line depreciation method. In 2021. the usefaul life of tea pany discovered that it had incorrectly recorded depreciation for 2020 as S580Igor the correcting entry on January 1, 2021. 06 ing income taxes, record e Error Correction LO6