16 and 17

6. Indicate where the following items would ordinarily appear on the financial statements of Boleyn, Inc. for the year 2017 (a) The service life of certain equipment was changed from 8 to 5 years. If a 5-year life had been used previ- ously, additional depreciation of $425,000 would have been charged. (b) In 2017, a flood destroyed a warehouse that had a book value of $1,600,000. Floods are rare in this locality (c) In 2017, the company wrote off $1,000,000 of inven- tory that was considered obsolete. (d) In 2014, a supply warehouse with an expected useful life of 7 years was erroneously expensed. (e) Boleyn, Inc. changed from weighted-average to FIFO inventory pricing. 17. Indicate the section of a multiple-step income statement in which each of the following is shown. (a) Loss on inventory write-down. (b) Loss from strike. (c) Bad debt expense. (d) Loss on disposal of a discontinued operation. (e) Gain on sale of machinery () Interest revenue. (g) Depreciation expense. h) Material write-offs of notes receivable