4. Bullet Company determined that the amortization rate on its patents is unacceptably low due to current advances in technology. The entity decided at the beginning of 2014 to decrease the estimated useful life on all existing patents from 10 years to eight (8) years. Patents were purchased on January 1, 2009 for P3,000,000. The estimated residual value is zero. On January 1, 2014, the entity decided to change its depreciation method to the straight line method. The straight line method is to be used for the new acquisitions as well as for previously acquired equipment. On January 1, 2014, the total historical cost of depreciable assets is P8,000,000 and the accumulated depreciation is P3,400,000. The expected remaining useful life of the depreciable assets on January 1, 2014 is 10 years and the expected residual value is P200,000. Compute for the total charge against 2014 income as a result of the accounting changes 5. During 2014, Brookside Trading decided to change from the FIFO method of inventory valuation to the weighted average method. Inventory balances under each method were as follows: January 1 December 31 FIFO 7,200,000 7,900,000 Weighted Average 7,700,000 8,300,000