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Accelerated Depreciation Koffman's Warehouse purchased a forint on January 1, 2017 for $320,000. The forklift is expected to last for five years and have a

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Accelerated Depreciation Koffman's Warehouse purchased a forint on January 1, 2017 for $320,000. The forklift is expected to last for five years and have a residual value of $11,000. Koffman's uses the double-dedining-balance method for depreciation Required: 1. Calculate the depreciation expense, accumulated depreciation, and book value for each year of the for it's life. If necessary, round any depreciation calculations to the nearest deltar Year Annual Depreciation Accumulated Depreciation Book Value 2017 2018 2019 2020 Accounting med 2021 2. Identity and analyze the effect of the transaction for depreciation for 2017 Activity Accounts Statement(s) How does this entry affect the accounting equation if a financial statement item is not affected, select 'No Entry and love the amount box blank. If the effect on a financial statement item is negative, e, a decrease be sure to enter the answer with a mission. Remember if a contra account is created, it will have the effect of decreasing the corresponding financial statement item Balance Sheet 2. Identity and analyze the effect of the transaction for depreciation for 2017 Activity Accounts Statement(s) How does this entry affect the accounting equation? If a financial statement item is not affected, select "No Entry and leave the amount box blank. If the effect on a tesancial statement item is negative, I., a decrease, be sure to enter the answer with a minus sign. Remember a contre account is increased, it will have the effect of decreasing the corresponding financial statement item Balance Sheet 11 Stockholders Assets Liabilities Equity Revenues 3. Refer to Exhibit 18-2 What factors may have influenced Kottman's to use the double-declining balance method Koffman's may believe that the double-dedining balance method with the revenues produced by the asset Koffman's may also choose this method because it allows depreciation to be taken in the early years of the asset and thus taxes until the later years

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